Radico Khaitan Q1 net up 50% at Rs 16 cr

Liquor maker Radico Khaitan today reported 50 per cent increase in its net profit at Rs 16.05 crore for the first quarter ended June 30, compared with that in the same period a year ago.

The company had reported Rs 10.7 crore net profit in the same quarter last fiscal.

Net sales during the first quarter this fiscal stood at Rs 326.07 crore against Rs 274.38 crore in the year ago period.

"The company has registered a growth mainly due to increase in sale volumes of Magic Moments Vodka by 32.6 per cent to 5.14 lakh casess in the first quarter compared to 3.38 lakh cases in the corresponding last fiscal," Radico Khaitan Managing Director Abhishek Khaitan told PTI.

He said that the company is now targeting a sale of two million cases of Magic Moment Vodka in the current fiscal.

The Delhi-based company's other brands also reported growth. Its Contessa Rum grew by 5.2 per cent and its flagship brand 8PM Whisky grew by 5.6 per cent.

"Net sales are also up mainly because of increase in sales of Indian made foreign liquor division by over 17 per cent, which consist of more than 80 per cent of total sales of the company," Khaitan said while addding that the premiumization strategy defined and adopted in 2006 has paid off well for the company.

Total sales volume stood at 42.41 lakh cases, up 10.6 per cent from the year-ago period, the company said.

Leading brands of the company, including 8PM Whisky, Magic Moments, Contessa Rum and Old Admiral Brandy witnessed good volumes growth during the quarter, it said.

The company is further strengthening its brand portfolio by adding premium brands and has launched 'After Dark' premium whisky in select markets.