GM Breweries rises 6% to hit 52-week high post Q3 results; retreats later

GM Breweries Share Price: Shares of GM Breweries, a maker of breweries and distilleries, were volatile on Tuesday after the company announced its financial results for the third quarter of the financial year 2025-26 (Q3FY26).

 

Following the announcement, the company’s shares surged as much as 6.49 per cent, hitting a 52-week high of ₹1,328.8 per share on the NSE during intraday trade on Tuesday, January 6. However, the stock later retraced its gains and turned negative mainly due to the profit booking at higher levels.  At 01:02 PM on Tuesday, GM Breweries shares were trading at ₹1,214.80 per share on the NSE, down 2.64 per cent from the previous close of ₹1,247.80. The benchmark NSE Nifty50 index, meanwhile, was trading at 26,185, down by 64 points or 0.25 per cent.

 

 

A combined total of nearly 12.65 million equity shares of GM Breweries, worth approximately ₹318.24 crore, had changed hands on the NSE and BSE by mid-afternoon. The company’s market capitalisation stood at ₹2,747.11 crore.

 

GM Breweries Q3FY26 results

 

During Q3FY26, GM Breweries reported a 91 per cent increase in net profit Year-on-Year (Y-O-Y), reaching ₹42 crore compared to ₹22 crore in the same quarter last year, according to an exchange filing submitted by the company.

 

Revenue for the quarter rose by 22 per cent Y-O-Y to ₹202.5 crore, up from ₹165.9 crore in the corresponding quarter of the previous fiscal year.  Furthermore, the company’s earnings before interest, taxes, depreciation, and amortisation (Ebitda) grew by 80 per cent to ₹53 crore, compared to ₹30 crore Y-O-Y. Meanwhile, the company’s margin stood at 26.1 per cent, up from 17.8 per cent Y-O-Y, according to the regulatory filing submitted by GM Breweries.   

Should you buy, sell or hold?

Despite the drop, Ravi Singh, chief research officer at Master Capital Services, believes there is no immediate reason to panic. "While revenues were steady, profit growth did not fully meet expectations, largely due to cost pressures. This led to quick profit booking after the initial reaction, resulting in wide intraday swings. Such price action indicates that investors are unsure about near-term earnings visibility rather than questioning the business itself," said Singh.

 

He believes the company still has a stable operating model, but returns may remain uneven in the short term. "Fresh investors should avoid chasing the stock at higher levels and wait for prices to either stabilise or correct toward stronger support. In the near term, sentiment will depend more on margin improvement than on revenue growth alone," he added.  ============== 

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