United Spirits Reports Q1 FY27 Results; Net Sales Rise 6.0% Amid Segment Divergence
Bengaluru, India - July 22, 2026: United Spirits Ltd., a prominent beverage alcohol company in India, announced its unaudited standalone results for the first quarter of fiscal year 2027 (Q1FY27), noting double-digit growth in its Prestige & Above segment.The company reported Net Sales at INR2,703 Crores, marking a 6.0% increase year-on-year. The Prestige & Above (P&A) segment saw a strong performance, achieving an NSV of INR2,478 Cr., up 10.1%. Meanwhile, the Popular segment’s Net Sales were INR206 Cr., representing a decline of 17.5%. EBITDA stood at INR432 Cr., which was a 4.1% rise, resulting in an EBITDA margin of 16.0%. Profit After Tax (PAT) reached INR391 Cr., reflecting a significant increase of 51.6%.
Praveen Someshwar, CEO and Managing Director of United Spirits Ltd., commented on the Q1FY27 results, stating that the company commenced fiscal 2027 on a strong note due to double-digit growth in the Prestige & Above segment. He expressed confidence, noting that their consumer centric interventions support continued growth as the year progresses, while they continue to future-proof their portfolio and create value for stakeholders.
Operational and Financial Highlights
Gross profit increased by 11.2%, achieving a gross margin of 46.1%, which represents an expansion of 212 basis points over the previous year. The A&P reinvestment rate was reported at 11.5% of net sales, reflecting robust investment in portfolio trademarks.Gross Profit margins were partially offset by the adverse impact noted due to the West Asia crisis. EBITDA margin stood at 16.0%, a contraction of 30 basis points compared to the prior year's same quarter, primarily attributed to higher A&P investments. Finance cost for the quarter was INR30 Cr., which was primarily due to customary non-debt related items.
The Prestige & Above segment accounted for 91.7% of net sales during the first quarter, showing a 10.1% increase. This growth was attributed to Smirnoff local flavor innovation and broad portfolio expansion. However, this performance was partially mitigated by the ongoing negative impact of policy in Maharashtra.
Conversely, the Popular segment accounted for 7.6% of net sales, declining by 17.5%. This decline was driven by MML impact in Maharashtra and recent policy changes in Karnataka resulting from excise slab variations, which adversely affected realizability in that segment.
Key Financial Performance Indicators (Standalone)
The following table details the key financial performance indicators comparing Q1FY27 against Q1FY26.| Indicator | Q1FY27 | Q1FY26 |
|---|---|---|
| Gross Profit Margin (%) | 46.1 | 44.0 |
| Marketing Spends (%) | (11.5) | (9.3) |
| EBITDA Growth (%) | 4.1 | (9.4) |
| EBITDA Margin (%) | 16.0 | 16.3 |
| EPS (INR) | 5.38 | 3.55 |
Business Segment Review (Standalone Basis)
The company provided a detailed breakdown of segment performance for the quarter, including volume and net sales value comparison. The table below summarizes the operational movement across segments.| Segment | Q1FY27 Volume ('000 cs) | Q1FY26 Volume ('000 cs) | Volume Movement | Q1FY27 Net Sales Value (INR Cr.) | Q1FY26 Net Sales Value (INR Cr.) | Net Sales Movement (%) |
|---|---|---|---|---|---|---|
| P&A | 12,404 | 12,573 | (1.3) | 2,478 | 2,251 | 10.1 |
| Popular | 2,070 | 2,411 | (14.1) | 206 | 250 | (17.5) |
| Other | - | - | - | 19 | 48 | (60.2) |
| TOTAL | 14,474 | 14,984 | (3.4) | 2,703 | 2,549 | 6.0 |
UNITDSPR Stock Price Movement
On Wednesday, shares of United Spirits Limited edged higher, gaining 1.14% to settle at ₹1404.2. The equity saw a traded volume of 666,171 shares during the session.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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