Radico Khaitan sees FY27 revenue growth above estimates on premium demand

Indian liquor company Radico Khaitan expects fiscal 2027 revenue growth to be largely above analysts' estimates, ‍banking on sustained demand for ​its higher-priced spirits, a top executive said.

The maker of Jaisalmer and Rampur brands expects net revenue to rise 13 per cent-15 per cent in fiscal 2027, the company told Reuters.

Analysts, on average, were projecting a 13.7 per cent rise in revenue, according to estimates compiled by LSEG.

Radico Khaitan reported a 62 per cent jump ​in third-quarter profit on Thursday.

Managing Director Abhishek Khaitan said on Thursday he expects sales volume in the company's "prestige and above" business, which makes up roughly half of its total revenue, to climb over 15 per cent.

 

The company expects its more affordable "regular and others" range to grow in the mid-single digit percentage range in fiscal 2027.

India's consumer demand remains split, with affluent buyers continuing to spend despite broader pressure, supporting sales at premium-focused companies such as liquor makers and jewellers.

Demand for premium liquor is outpacing cheaper brands as younger consumers shift toward higher-end drinks even while drinking less often than older generations, the managing director added.

"People want to spend ‌on good things in life (post-Covid)," Abhishek Khaitan ​said on Thursday.

The company is looking to diversify export markets as US tariffs weigh on Indian shipments. Exports make up about a tenth of revenue in its core Indian-made foreign liquor business, which sells ‍to more than 100 countries.

It built inventory in the United States ahead of the tariff rollout and has enough stock to ‍cover the ‌current quarter.

"We are ​obviously focusing more on (other) markets in case ‍the tariffs don't go down in the United States," Sanjeev Banga, president ‍of ‍the company's international ‌business, said.