Leading Indian-Made Foreign Liquor (IMFL) manufacturer Tilaknagar Industries has reported a 139.3 per cent year-on-year increase in profit after tax (excluding exceptional items) at ₹24.55 crore for the quarter ended December 31, 2022. In the corresponding quarter a year ago, the company had registered a net profit of ₹10.27 crore, a spokesman said here.
Tilaknagar delivered its highest-ever net revenue at ₹302.87 crore at the end of the quarter, having risen 47.1 per cent from ₹205.90 crore reported in the corresponding period a year ago. Earnings Before Interest Tax Depreciation and Amortisation (EBITDA) stood at ₹40.56 crore in the December quarter (₹32.42 crore).
Mansion House leads
Led by a strong performance of its flagship Mansion House brand, Tilaknagar recorded a 39.4 per cent year-on-year volume growth. Sales volumes increased to 26 lakh cases in the quarter under review against 18.7 lakh cases in the year-ago quarter.
Amit Dahanukar, Chairman and Managing Director, said sales have been buoyant across all brands and territories with Mansion House performing exceptionally well in Karnataka, Sikkim and Goa. “We were able to expand our EBITDA to above ₹40 crore at a healthy EBITDA margin of 13.4 per cent as against 11.4 per cent in Q2 FY23, despite glass price hikes and other inflationary pressures,” he added.
Highest-ever sales
Tilaknagar Industries sold 8.7 lakh cases of Mansion House brand in December 2022, making it the highest-ever sales for the brand so far in a single month. The company’s overall sales volumes, too, reached almost 11 lakh cases in a month for the first time after a decade. In line with its debt-reduction strategy, it has reduced its debt by ₹126 crore in the nine months of FY23. It aims to be near net-debt free by FY24. In December 2022, the company also completed the ₹100-crore preferential issue to San Francisco-based Think Investments.
Tilaknagar Industries has emerged as the country’s largest brandy manufacturer, the spokesman claimed. According to IWSR Drinks Market Analysis, the company sold 5.32 million cases of its flagship brand Mansion House Brandy in 2021, making it India’s biggest brandy brand by volume. Under the Mansion House brand umbrella, the company recently launched India’s first premium flavoured brandy as well as Mansion House Reserve, a premium variant of Mansion House Brandy.