United Spirits Q1 net profit up 29% to Rs 81.3 crore

Liquor major United Spirits today reported about 29 per cent rise in its standalone net profit at Rs 81.3 crore for the first quarter ended June 30, 2018.

The company had posted a net profit of Rs 62.9 crore in the corresponding quarter last fiscal, Diageo-controlled firm said in a regulatory filing.

Its total income during the quarter under review was at Rs 6,436.6 crore, up from Rs 5,847.7 crore in same quarter last fiscal, it added.

The company's performance has continued to improve in the first quarter as the operating environment has become more stable, United Spirits CEO Anand Kripalu said.

"During the quarter, overall net sales growth excluding the impact of operating model changes was 14 per cent, benefitting from lapping the impact of highway ban last year, while also driven by improved performance of the Prestige and Above segment," he added.

Kripalu pointed that this quarter, the company significantly accelerated the investment behind its brands with marketing spend up 30 per cent compared to last year.

"Looking forward, we will continue to focus on premiumisation, strengthening our brands and driving productivity...We reiterate our medium-term ambition to deliver double digit topline growth and improve margins to mid-high teens," he said.