United Breweries shares rise 2% on quarterly business update; details here

UBL reported mid-single-digit growth in net revenue in India, despite a decline in beer volumes, affected by an unusually strong monsoon season

Shares of United Breweries Ltd. (UBL) rose over 2 per cent on Thursday after the company reported mid-single-digit net revenue growth in India despite lower beer volumes in the September quarter. 

 

The Brewery company's stock rose as much as 2.06 per cent during the day to ₹1,835.8 per share, the highest level since September 17 this year. UBL stock pared gains to trade 2 per cent higher at ₹1,834 apiece, compared to a 0.75 per cent advance in Nifty 50 as of 9:32 AM. 

 

Shares of the company rose for the fifth straight day. The counter has fallen 10 per cent this year, compared to a 10.3 per cent advance in the benchmark Nifty 50. United Breweries has a total market capitalisation of ₹48,349.13 crore.  READ STOCK MARKET LIVE UPDATES TODAY

 

United Breweries reports revenue growth 

United Breweries reported mid-single-digit growth in organic net revenue in India, despite a decline in beer volumes by a similar margin, affected by an unusually strong monsoon season, the company said in a statement. 

 

The company outperformed the broader market, supported by a high-single-digit expansion in price-mix through strategic pricing in key states and a favourable portfolio mix, it said. Premium segment volumes grew in the low teens, driven by Kingfisher Ultra Max and the launch of Amstel Grande, United Breweries added. 

 

In Heineken's Asia Pacific market zone, which includes India, the net revenue organically increased 5.6 per cent, but total consolidated volume was down 0.8 per cent. Heineken's revenue in the September quarter was 8.7 billion euros, down 4 per cent.

 

Heineken reported a decline in beer volume organically by 4.3 per cent, with growth in Africa & the Middle East more than offset by lower volume in Europe and the Americas.

 

In a report earlier this month, Nirmal Bang said that India's largest beer maker has entered an investment-led growth phase under the leadership of Chief Executive Officer Vivek Gupta. The firm noted that the UBL has stepped up marketing spends and new product launches, particularly in the premium segment, while also making sizeable investments in brewing capacity. 

 

In addition, the company has embarked on ambitious visi-cooler expansion plans aimed at enhancing product quality for end consumers, it noted. "These initiatives are likely to weigh on margins in the near term, but we expect the company to benefit from them over the medium to longer term, given its past under-investment in these areas," Nirmal Bang said.

United Breweries June quarter results

The company reported a 5.9 per cent increase in consolidated net profit for the quarter ended June 2025. The profit stood at ₹184.03 crore, up from ₹173.80 crore during the same period last year. However, the revenue from operations fell 7.4 per cent year-on-year to ₹5,380.78 crore. In the April-June quarter of 2024, revenue was ₹5,811.28 crore.