Radico Khaitan (RADICO) Q3 25/26 earnings summary

Executive summary

• Achieved highest-ever quarterly performance with 9.75 million cases in Q3 FY26, net revenue of INR 1,547 crores, and EBITDA of INR 265 crores, driven by premiumization and strong execution.

• Prestige & Above segment volume grew 25.9% year-over-year, with total IMFL volume up 16.7%.

• Margin expansion and improved return ratios supported by stable raw material costs and enhanced operating leverage.

• Unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025, were approved by the Board and reviewed by statutory auditors with an unmodified conclusion.

• Continued focus on brand-building, premium positioning, and disciplined cost management.

Financial highlights

• Revenue from operations (net) increased 19.5% year-over-year to ₹1,546.7 crore; standalone revenue for Q3 FY26 was ₹542,384 lakhs.

• Gross profit rose 29.2% to ₹719.4 crore; EBITDA up 44.9% to ₹265.4 crore.

• Total comprehensive income grew 61.1% to ₹153.7 crore, including an exceptional charge of ₹9.56 crore due to the New Labour Code.

• EPS (basic) for Q3 FY26 stood at ₹11.59 standalone and ₹11.57 consolidated, up from ₹7.18 and ₹7.14 respectively in Q3 FY25.

• Net debt reduced by INR 2.09 billion since March 2025, standing at ₹365.0 crore as of December 31, 2025.

Outlook and guidance

• Expect continued margin support from stable raw material prices and premiumization.

• A&P spending guided at 6%-8% of IMFL revenue to sustain brand growth.

• Margin improvement of 125 bps annually over next two years, targeting late-teen EBITDA margins.

• Strategic focus on scaling luxury Indian spirit brands globally and sustaining long-term growth.

• The company continues to monitor the impact of new labour codes and government clarifications.