GM Breweries Q1 Results Highlights: Shares rise after 25% profit growth, margin expansion

Synopsis

GM Breweries reported a net profit of ₹24.9 crore for the April-June period, marking a 25% increase compared to the same period last year.

GM Breweries Q1 Results Highlights

GM Breweries reported a net profit of ₹24.9 crore for the April-June period, reflecting a 25% growth compared to the same period last year. The company also saw a 3.8% increase in revenue for the quarter, reaching ₹152.4 crore, up from ₹147 crore the previous year. This revenue figure accounts for the deduction of excise duty from the total revenue from operations.

For the April-June quarter, GM Breweries reported an 18.6% year-on-year increase in Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA), reaching ₹30.9 crore. Additionally, the EBITDA margin expanded by nearly 300 basis points, rising to 20.3% from 17.7% in the same period last year.

GM Breweries recently issued bonus shares to its shareholders, providing one free share for every four shares held as of the record date in May this year.

Following the announcement, GM Breweries share price are trading 3.2% higher at ₹936.2. The stock has experienced a 61% increase so far in 2024 and has doubled in value over the last 12 months. The market capitalization of GM Breweries is ₹2,069.25 crore, according to Bombay Stock Exchange (BSE). 

About GM Breweries

GM Breweries is involved in the manufacturing and marketing of alcoholic beverages, including country liquor and Indian-made foreign liquor. According to its website, it is the largest manufacturer of country liquor in Maharashtra, holding a significant market share in the region.

The company operates a state-of-the-art, fully automated bottling plant located in Virar, Thane District, capable of producing approximately 50,000 cases per day. Originally starting with a production of 200 cases daily, GMBL has scaled up impressively over the years to its current capacity.