White spirits lead Radico's growth story; Q2 net profit rises 73%

Radico Khaitan's net profit jumps 73% to Rs 139.5 crore in Q3FY26 as white spirits like vodka and gin outpace brown spirits in driving premiumisation

Liquor-maker Radico Khaitan has identified white spirits as a strong driver as the segment registers a faster rate of growth compared to brown spirits like whisky, rum, and brandy.

 

“Since the launch of Magic Moments in 2006, we have believed in the segment, especially with our population of women and youngsters. In the last few years, we are seeing white spirits like gin and vodka increasing much faster than brown spirits,” Abhishek Khaitan, managing director, Radico Khaitan, told Business Standard after announcing the company’s results for the second quarter of 2025-26 (Q2FY26).

 

The white spirits segment, which includes the famed Jaisalmer gin, recorded a 20 per cent growth in the quarter, he added.

 

 

“White spirits are there for the future and we have covered the segment well. We have been constantly innovating in the vodka category with the launch of three flavours in the last six months, which will continue to happen,” he further said. The brand had also made an initial investment of about ₹40 crore in D’Yavol Spirits brand to launch a premium tequila.

 

Meanwhile, the company recorded a 73 per cent uptick in consolidated net profit to ₹139.5 crore in Q2FY26 from ₹80.6 crore in the year-ago period. Its consolidated net sales rose 29.4 per cent to ₹5,056.7 crore from ₹3,906 crore in the same period last year.

 

The company recorded its highest ever volume growth of 21.7 per cent in the prestige and above segment, with 3.89 million cases sold.

 

“We are on track to record ₹500 crore in sales from the luxury segment this financial year. Morpheus Rare luxury whisky continues to strengthen its position in the super-premium whisky segment, with expanding consumer reach across markets, while The Spirit of Kashmyr vodka is now available in seven states,” Khaitan added.

 

The company’s total Indian Made Foreign Liquor (IMFL) volumes increased 37.8 per cent to 9.34 million cases, with regular volumes sustaining their sharp growth trajectory of 79.6 per cent to 5.04 million cases.

 

“Change in the route-to-market in Andhra Pradesh contributed to the regular volume growth to a large extent, where we are the largest player with a market share close to 28 per cent. Apart from that, states like Uttar Pradesh and Rajasthan have also started growing in the regular range,” he said.