Tilaknagar Industries Ltd. – Investor Presentation Summary

Key Operational Highlights

  • Sales volume reached ~20 million cases in FY26 including 4 months of Imperial Blue under TI ownership
  • Mansion House Brandy achieved record sales of 10 million cases in FY26, cementing its position as India's largest P&A brandy
  • YoY volume growth of 68% for FY26 on combined business, with ex-Imperial Blue business delivering 14% growth vs FY25
  • Q4 FY26 volumes grew 135% YoY to cross 8 million cases for combined business
  • Imperial Blue business (ex-Maharashtra) grew at 9% in volume terms compared to Q4 FY25
  • Key drivers: Acquisition of Imperial Blue completed in November 2025, manufacturing transition underway, pan-India distribution strength

Segment-wise Performance

  • Mansion House Brandy: 10 million cases in FY26 (up from 8.7 million cases in FY25)
  • Imperial Blue: Integrated into portfolio with manufacturing transition 75% completed
  • Premium portfolio expansion through Seven Islands Pure Malt Whisky and SSL portfolio

Financial Highlights

  • Revenue from Operations (Net): ₹2,346 crores in FY26 (vs ₹1,381 crores in FY25) - 52.5% growth
  • EBITDA: ₹419 crores in FY26 (vs ₹255 crores in FY25) - 40.5% growth
  • EBITDA Margin: 17.9% in FY26 (vs 18.5% in FY25) - (139 bps)
  • PAT excluding exceptional items: ₹253 crores in FY26 (vs ₹230 crores in FY25) - 15.7% growth
  • PAT Margin excluding exceptional items: 10.7% in FY26 (vs 16.4% in FY25)
  • Reported Diluted EPS (As per Profit after Tax): ₹0.96 in FY26 (vs ₹11.81 in FY25)
  • Q4 FY26 Revenue from Operations (Net): ₹949 crores (147.5% YoY growth)
  • Q4 FY26 EBITDA: ₹155 crores (97.1% YoY growth)
  • Q4 FY26 EBITDA Margin: 16.3% (vs 20.4% in Q4 FY25) - (416 bps)
  • Drivers: Imperial Blue acquisition, volume growth, operating leverage benefits
  • Exceptional items: INR 63 crores in Q4 FY26 (includes INR 43 crores of TSMA/TSSA costs, INR 8 crores transaction integration costs, INR 12 crores labor code changes)
  • Acquisition-related amortization: INR 35 crores in Q4 FY26

Geographical Revenue Split

  • Business expanded significantly into non-corporation market states post Imperial Blue acquisition
  • Andhra Pradesh market: 40 million cases (FY26), 15% annual growth, TI has ~41% market share in Prestige & Above segment

Balance Sheet Snapshot

  • Equity Share Capital: ₹247 crores (Mar-26) vs ₹194 crores (Mar-25)
  • Other Equity: ₹2,735 crores (Mar-26) vs ₹689 crores (Mar-25)
  • Total Equity: ₹2,982 crores (Mar-26) vs ₹882 crores (Mar-25)
  • Borrowings (Non-current): ₹2,028 crores (Mar-26) vs ₹11 crores (Mar-25)
  • Total Gross Debt: ₹2,295 crores
  • Cash & Cash Equivalents: ₹384 crores
  • Total Net Debt: ₹1,911 crores
  • Inventories: ₹402 crores (Mar-26) vs ₹165 crores (Mar-25)
  • Trade Receivables: ₹1,272 crores (Mar-26) vs ₹411 crores (Mar-25)

Capex & Cash Flow Health

  • Net Cash from Operating Activities: -₹445 crores (FY26) vs ₹178 crores (FY25)
  • Net Cash from Investing Activities: -₹3,570 crores (FY26) vs -₹77 crores (FY25)
  • Net Cash from Financing Activities: ₹4,217 crores (FY26) vs -₹94 crores (FY25)
  • Capital Expenditure: Significant expansion of manufacturing footprint across India

Strategic & R&D Initiatives

  • Term loan of ₹2,100 crores for 6 years with 2-year principal moratorium, effective interest rate ~10%-11%
  • Manufacturing transition: 75% of Imperial Blue volumes under TI operations, remainder under TSMA (max Q4 FY27 exit)
  • Cost optimization initiatives expected to deliver 250-400 bps margin expansion on acquired business
  • Savings identified in employee cost, packaging, customs (India-UK FTA reduction from 150% to 75%), bottling charges, general/IT/admin overheads
  • Expected savings of INR 10 crore annually from Andhra Pradesh market expansion

Management Commentary & Growth Outlook

  • 3-year targets: Double-digit volume growth, EBITDA margin of 16-18% on combined business, reduce Net Debt/EBITDA below 1.0x
  • FY27 and next 3 years guidance remains unchanged on volume and margin front
  • Strategy pillars: Regain Imperial Blue's legacy market share, use IB as premiumization lever, deliver growth in P&A brandy
  • Plan to expand Seven Islands Pure Malt Whisky and SSL portfolio in 10+ states over next 12-18 months
  • Manufacturing capacity expansion through new units and brownfield expansion at existing units
  • Board recommended Dividend of Re. 1 per equity share for FY 2025-26

Awards & Recognition

  • Mansion House Brandy: World's Best Speciality Brandy (World Drinks Awards 2025), Spirits Achiever Awards Blind Tasting 2025, India's top selling premium brandy (Drinks International 2024)
  • London Spirits Competition 2026: Gold for Seven Islands Pure Malt Whisky and Monarch Legacy Edition Brandy, Silver for Amara Pink Vodka, Bronze for Samsara Pink Gin
  • Multiple awards at Spiritz Conclave & Achievers' Awards 2025 across brandy and whisky categories
  • Marketing awards for Mansion House Boyzzzz Campaign including Indian Content & Marketing Awards 2025 and ET Shark Awards '25