United Spirits Shares Dip 2% as Company Faces Rs 365.33 Crore Claim from Institutional Customer

18 Dec 2023 , 01:09 PM

United Spirits Limited shares declined by over 2% to Rs 1,061 on December 18. The drop followed the disclosure of a substantial claim of Rs 365.33 crore from a domestic institutional customer.

The claim is related to a settled matter with all recovery claims previously resolved, as per financial statements from March 31, 2017, 2018, and 2022.

United Spirits, owned by Diageo, stated uncertainty about the financial implication of the claim and a delay in intimation due to a review of historical documents.

In Q2 FY24, the company reported a consolidated net profit of Rs 339.3 crore, down 38% from a year ago.

Quarterly revenue was Rs 6,736.5 crore, an 18.6% decrease from the year-ago quarter. Consolidated Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) reached Rs 467 crore, showing a 21.4% growth on rebased prior year comparators.

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