United Spirits (UNITDSPR) Q2 25/26 earnings summary

Executive summary

• Achieved strong top and bottom-line growth in Q2 FY26, with double-digit growth in the Prestige & Above segment and revenue from operations for H1 FY26 reaching ₹13,494 crores, up from ₹12,910 crores year-over-year.

• Premiumization and innovation in brands like Godawan, Smirnoff, and Royal Challenge drove performance, with new launches and strong consumer acceptance.

• Management remains cautiously optimistic for the second half, focusing on agile execution in challenging markets and leveraging festive season demand.

• Consolidated net profit for the half year was ₹881 crores, compared to ₹826 crores in the prior year period.

• The company completed the acquisition of Nao Spirits, holding 97% equity as of September 30, 2025.

Financial highlights

• Overall portfolio Net Sales Value (NSV) growth for H1 FY26 was 10.1%, with P&A growth at 10.9%.

• Gross profit for the quarter was INR 1,493 crore, gross margin at 47.1% (up 190 bps YoY); H1 gross profit at INR 2,614 crore, gross margin at 45.7%.

• Standalone revenue from operations for the quarter was ₹7,192 crores, up from ₹6,671 crores last year.

• Reported EBITDA for the quarter was INR 672 crore, up 32.5% YoY; H1 reported EBITDA at INR 1,087 crore, up 16.8%, margin at 19%. Consolidated EBITDA for the half year was ₹1,304 crores, up from ₹1,215 crores year-over-year.

• PAT for the quarter grew 40.9% YoY to INR 472 crore, PAT margin at 14.9%.

Outlook and guidance

• Management expects the second half to be more challenging due to Maharashtra and Andhra Pradesh dynamics but remains confident in delivering on full-year aspirations.

• Focus remains on driving premiumization, innovation, and agile resource allocation to the most elastic growth points.

• Margin guidance remains in the mid to high teens, with a commitment to grow bottom line ahead of top line over the medium term.

• Management continues to focus on operational efficiency and growth initiatives, including integration of recent acquisitions.

• Ongoing legal and regulatory matters are being actively managed, with no material financial impact anticipated at this stage.