Company Disclosure

Associated Alcohols & Breweries Limited (Scrip Code: 507526, NSE Symbol: ASALCBR) submitted its Q1FY27 earnings presentation to BSE Limited and National Stock Exchange of India Limited pursuant to Regulation 30 of SEBI Listing Regulations on 26th July 2026.

Q1FY27 Financial Performance

Revenue: Net revenue from operations stood at ₹2,809 million for Q1FY27, compared to ₹2,667 million in Q4FY26 and ₹2,385 million in Q1FY26.

Profitability: EBITDA was ₹299 million with margins of 11%, declining from ₹371 million (14% margin) in Q4FY26 and ₹403 million (17% margin) in Q1FY26. Profit After Tax was ₹178 million (6% PAT margin), down 25% from ₹237 million (9% PAT margin) in Q4FY26 and down 24% from ₹235 million (10% PAT margin) in Q1FY26.

Other Income: Other income increased to ₹31 million from ₹18 million in Q4FY26.

Earnings Per Share: Basic and diluted EPS for Q1FY27 was ₹8.88 per share.

Segment Performance

IMFL Proprietary: Revenue increased to ₹792 million in Q1FY27 from ₹660 million in Q4FY26.

IMFL Licensed: Revenue was ₹252 million in Q1FY27.

IMIL: Reported EBITDA margin of 18% for Q1FY27.

Merchant ENA: Revenue per liter was ₹6.9 with volume measured in million liters.

Ethanol: Reported operating loss of ₹47 million due to low realization.

FY26 Annual Performance

Revenue: Gross revenues were ₹10,333 million in FY26, down 6% from ₹10,966 million in FY25. Net revenue from operations was ₹10,194 million after excise duty of ₹139 million.

Profitability: EBITDA was ₹1,429 million (14% margin), up 12% from FY25. PAT was ₹885 million (9% PAT margin), up 9% from FY25. Basic EPS was ₹47.42 and diluted EPS was ₹45.92 for FY26.

New Product Launch

Launched 'Kultur' ready-to-drink (RTD) brand with 5 flavor variants (Cranberry, Watermelon Mint, MaiTai, Lemon, Juniper Triple Sec) in 330ml cans. Initially launched in Madhya Pradesh with plans to expand to 8 additional states. This marks the company's entry into the RTD category, which is projected to grow at 10.9% CAGR from 2025-2031.

Strategic Goals & Expansion

Pan-India Presence: Currently present in 14 states including Madhya Pradesh, Kerala, Maharashtra, Delhi. Targeting entry into Karnataka and Andhra Pradesh. Aiming to become top 10 IMFL company in India.

Manufacturing Capabilities: Largest vertically integrated facility in Barwaha, MP with 160 KLPD ENA capacity, 130 KLPD ethanol capacity, and 6,000 LPD malt plant. Commissioned malt plant with maturation underway. Acquired SDF Industries to bring bottling operations in-house in Kerala.

Growth Targets: Targeting 25-30% CAGR revenue growth in IMFL proprietary segment over next 4-5 years. Targeting 2 million cases in Kerala in FY27.

Financial Position

Balance Sheet: Strong balance sheet with net debt/equity of 0.09x and interest coverage ratio of 23x. Net working capital was ₹1,614 million as of FY26.

Capex Plans: ₹550 million incurred for malt plant; additional ₹150 million expected for casks in FY27; ₹100 million for bottling unit automation; ₹400 million for SDF Industries acquisition.

Expansion Funding: Expansion driven by internal accruals with minimal debt.

Management & Leadership

Board of Directors: Prasann Kumar Kedia (Managing Director), Anshuman Kedia (Whole Time Director & CEO), Tushar Bhandari (Whole Time Director), Debashis Das (Independent Director), Dr. Swaraj Puri (Independent Director).

Leadership Team: Dilip Kumar Inani (CFO), S.R. Dubey (Group Sales Head), Abhinav Mathur (Company Secretary), Rajeev Nema (Head HR), Sanjeev Kumar Tulsyan (Head Marketing).

Industry Context

India ranks as world's third-largest alcoholic beverage market. Whisky dominates with over 70% market share. Premium spirits segment showing rapid growth, particularly among urban millennials and middle class. Per capita alcohol consumption in India is 11.8 liters, significantly below global averages.