Varun Beverages Q4 results: PepsiCo bottler's net profit rises 40% to ₹185 crore, dividend announced

Revenue from operations increased 39.78% to ₹3,817.61 crore in the latest December quarter of the calendar year 2024 (CY24), compared to ₹2,730.98 crore a year back.

Earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose 39% to ₹580 crore in the quarter under review, compared to ₹418 crore in the corresponding period last fiscal. EBITDA margin remained flat at 15.7%.

Varun Beverages share price

Post earnings, shares of Varun Beverages were trading 2.47% lower at ₹540 apiece on the NSE at 12:52 pm.

Varun Beverages Q4 results: Dividend announced

The company's Board also announced a dividend of ₹0.50, subject to the approval of shareholders in the ensuing annual general meeting of the Company. The record date has not been fixed yet.

Commenting on financial results, Ravi Jaipuria, Chairman of Varun Beverages said, "We are pleased to conclude CY2024 on a strong note through adding geographical presence into new territories of South Africa along with distribution rights in Namibia, Botswana, Mozambique and Madagascar. We also started greenfield operations into a new country of Democratic Republic of Congo (DRC). The growth has been driven by organic volume growth and improved product mix."

He said India volumes advanced 11.4%, while consolidated volumes surged 23.2%. "We are progressing well in South Africa as we grew the sales volumes by 12.5% in the very first year of operations. We are consciously reducing our reliance on modern trade channels and enhancing our distribution network in general trade," Jaipuria said.

The company also entered into a share purchase agreement to acquire the Tanzania and Ghana business of PepsiCo.

During the quarter, Varun Beverages also raised ₹7,500 crore via a qualified institutional placement (QIP).

In CY24, the company commissioned 3 new greenfield production plants with backward integration in Maharashtra's Supa, Uttar Pradesh's Gorakhpur and Odisha's Khordha.

Moreover, the firm "set up and expanded backward integration facilities at the Guwahati plant in India, as well as at plants in Morocco, Zambia, and Zimbabwe in international regions," the company said in an exchange filing.