Varun Beverages, a major bottler for PepsiCo, has reported a 40.3% increase in net profit for the fourth quarter of FY2024. The company posted a net profit of Rs 185.1 crore for the December 2024 quarter, up from Rs 131.9 crore in the same period last year.
Revenue for the quarter surged 40.3% to Rs 3,818 crore, compared to Rs 2,731 crore in Q4 of FY2023. EBITDA for the period rose by 38.7%, reaching Rs 580 crore, up from Rs 418 crore in the previous fiscal year’s fourth quarter.
The board of directors also declared a final dividend of Rs 0.50 per share for the fiscal year 2024.
However, Varun Beverages' stock experienced a 2.45% decline, settling at Rs 540.05 on the BSE, with a market capitalization of Rs 1.82 lakh crore. During the trading session, the company saw a turnover of Rs 16.42 crore with 3.02 lakh shares traded.
Ravi Jaipuria, Chairman of Varun Beverages, highlighted that India’s volumes grew by 11.4% during the quarter, reflecting the strength of the company’s distribution network and operational execution. The company also witnessed significant growth in South Africa, where sales volumes increased by 12.5% in the first year of operations.
Total expenses for Q4 increased by 39.8%, reaching Rs 3,478.6 crore, up from Rs 2,489 crore in Q4 of the previous fiscal year. Varun Beverages also announced that it had become net debt-free after prepaying its debts using proceeds from a Qualified Institutional Placement (QIP) issue.
Varun Beverages, a key PepsiCo franchisee, is a leading producer and distributor of a wide range of carbonated and non-carbonated beverages, including packaged drinking water.
