USL becomes 2nd biggest spirits maker in world

Vijay Mallya-led UB Group today said it has become the world's second-largest liquor maker after Diageo with sales of over 100 million cases in the last 12 months and is certain to be the number one by next fiscal.

In the process, group firm United Spirits (USL) has overtaken France's Pernod Ricard, Mallya told reporters here, adding the company has set its eyes on the number one spot.

"We are now clearly the second largest spirits company in the world and we have outperformed our global competitors," he said, adding the firm has done "extremely well despite the economic slowdown".

USL in the last 25 years sold over 740 million cases of spirits products making a total of 26 billion bottles of alcohol beverages of different pack sizes, he added.

"We are certain that our additional sales in the next financial year will take us to the number one position globally," he said.

Mallya said it took USL 12 years to cross the first 100 million cases, another five years for the next 100 million cases and four years for the third 100 million cases.

It took three years for the company to cross the fourth, fifth and sixth million cases and "finally we achieved 100 million cases sales in just 12 months".

"Our three years compounded annual growth rate is 15 per cent plus. If you take the two other large spirits companies in the world -- Diageo and Pernord Ricard, they have achieved only single digits," he said.

The company today announced that it has achieved a sale of over 100 million cases of nine litres each in last 12 months, thus replacing Pernod Ricard as the second largest spirits firm globally while its another firm engaged in beer manufacturing has also achieved a sale of 100 million cases in the financial year ended on March 31, 2010.

The retail sales value of the spirits portfolio sales of United Spirits for the 100 million cases sold is over Rs 36,000 crore, USL said.