Q2 2025 Radico Khaitan Ltd Earnings Call Transcript
Key Points
- Radico Khaitan Ltd (BOM:532497) achieved a 12.6% growth in the Prestige & Above category, highlighting strong performance in premium segments.
- The company introduced new luxury products like Rampur Indian Single Malt, Barrel Blush, and expanded its international presence with launches in the US, UK, and Europe.
- EBITDA margin improved by 650 basis points year-over-year, driven by economies of scale and premiumization.
- The company launched innovative packaging solutions, such as a 180mL pocket pack for Magic Moments, which is 100% recyclable and cost-effective.
- Radico Khaitan Ltd (BOM:532497) is optimistic about growth prospects in the Indian alcobev sector, with a strategic focus on premiumization and innovation.
- Total IMFL volume declined by 2.5% year-on-year, indicating challenges in the regular category.
- Gross margin decreased to 43.6% from 44.1% in the same quarter last year, impacted by foodgrain inflation.
- The regular category volume was affected by state-specific issues and strategic rationalization, leading to a significant decline.
- Net debt increased due to cyclical inventory buildup and higher receivables in certain states.
- The company faces ongoing volatility in grain and ENA prices, which could impact future cost structures.
Ladies and gentlemen, Good day and Welcome to the Radico Khaitan Q2 FY '25 earnings conference call hosted by Dolat Capital. As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes.
(Operator Instructions)
I now hand the conference over to Mr. Himanshu Shah from Dolat Capital. Thank you and over to you, sir.
Thank you, Rutuja. Good afternoon. Everyone. At this moment, we would like to thank the Radico Khaitan management for providing Dolat Capital with the opportunity to host the Q2 FY '25 earnings call.
We have with us the senior leadership team from Radico Khaitan, Mr. Abhishek Katan, MD and CEO, Mr. Amar Sina, Chief Operating Officer, Mr. Dilip Banthiya, Chief Financial Officer and Mr. Sanjeev Banga, President International Business. I will now hand over the call to Mr. Abhishek Katan, MD and CEO for his opening remarks. Over to you, Sir.
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
