Varun Beverages reports Q3 PAT of Rs32.60cr against a loss on the back of robust sales

3 Feb 2022 , 12:37 PM

Varun Beverages Ltd. (VBL), a key player in the beverages industry with operations spanning across 6 countries, has announced its results for the quarter ended December 2021. The company operates 100+ depots, has 2000+ distribution channels, owns over 2500 delivery vehicles, and has installed over 8,40,000 visi-coolers to cater to its market demand.

VBL’s consolidated revenue from operations for December 2021 quarter stood at Rs 1,734.34 crore as against Rs 1330.90 crore for December 2020 quarter, up by 30.3% YoY. Revenue for the 9M period ended December 2021 stood at Rs 8,823.23 crore against Rs 6,450.14 crore for the previous 9M period, increasing 36.8% YoY.

Its EBITDA for Q3 FY’22 was reported at Rs 207.57 crore against Rs 172.23 crore for Q3 FY’21, increasing 20.5% YoY. EBITDA for the 9M period ending December 2021 was Rs 1654.65 crore against Rs 1201.90 crore for the 9M period ending December 2020, up by 37.7% YoY.

Despite being a seasonally weak quarter, Its PAT for the quarter ended December 2021 stood at Rs 32.60 crore against the loss of Rs 7.24 crore for the quarter ended December 2020, a growth of 550% YoY. PAT for the 9M period ending December 2021 stood at Rs 746 crore against Rs 357.28 crore for the previous 9M period, increasing 108.8% YoY.

During Q3 FY’22, sales volume grew by 28.5% to 112.0 million cases. For FY’22 total sales volume grew by 33.8% to 569.1 million cases driven by a strong recovery in demand and a low base of FY 2021. Despite the second wave of Covid-19 impacting the peak season, the Company registered an organic volume growth of 4.7% in CY 2021 over FY 2020.

VBL also set up following new manufacturing facilities in India during the quarter i.e., for manufacturing of carbonated soft drinks, juice and packaged drinking water at Bihar, and for manufacturing of plastic preforms and plastic closures at Jammu & Kashmir.

The resurgence of Covid 19 pandemic caused significant disturbance and led to slowdown in economic activity and business operations of the Company in the month of May. However, as covid cases declined the business operations of the Company bounced back quickly registering a healthy growth for the full year.

Varun Beverages was last seen at Rs921.70 down by Rs17.1 or 1.82% from its previous closing of Rs938.80 on the BSE.