Varun Beverages Limited — PPTs, 30-04-2025: Investor Presentation

### Financial Highlights:

In Q1 CY2025, Varun Beverages Limited (VBL) reported a **29.2%** YoY increase in revenue, reaching **Rs. 55,669.4 Cr**, driven by a **30.1%** growth in consolidated sales volumes (312.4 million cases). EBITDA rose by **27.8%** to **Rs. 12,639.6 Cr**, while profit after tax (PAT) surged by **33.5%** to **Rs. 7,313.6 Cr**. Gross margins slightly declined to **54.6%** due to lower margins from owned brands in South Africa.

### Strategic Initiatives & Growth Drivers:

VBL is enhancing production capacity with new facilities in Kangra and Prayagraj and plans upcoming expansions in Bihar and Meghalaya. The company is also distributing PepsiCo snack products in Zimbabwe and Zambia, tapping into the growing packaged foods market.

### Business Developments:

VBL commenced commercial production at two new greenfield plants and established backward integration to improve supply chain efficiency. The company's credit rating has been upgraded to Crisil AAA/Stable, highlighting its financial strength.

### Market Position & Competitive Advantage:

VBL is recognized as a leading beverage franchisee globally, holding a substantial market share in India. Its extensive infrastructure supports efficient distribution and operational excellence, critical for scaling the business.

### Investor Implications:

These updates indicate VBL's continued growth trajectory, presenting **positive growth potential** for investors. Monitoring execution risks related to international expansions and new product launches will be essential moving forward.