Covid-19 impact: Radico Khaitan Q1 profit falls 19.52% to Rs 44.07 crore

Liquor, wine, Alcohol, Illustration: Ajay Mohanty

Liquor firm Radico Khaitan Ltd on Thursday reported a 19.52 per cent decrease in standalone net profit at Rs 44.07 crore for the first quarter ended June 30, 2020, due to disruptions caused by Covid-19.

The company had posted a net profit of Rs 54.76 crore in the April-June quarter a year ago.

Its total revenue from operations declined 33.70 per cent to Rs 1,774.65 crore during the quarter under review as against Rs 2,677.07 crore in the corresponding quarter last year, Radico Khaitan said in a BSE filing.

The company said "because of lockdown, the volume for the quarter ended June 30, 2020, was impacted partially, as there were no sales during the period April 1, 2020, till May 04, 2020. The sales have resumed, post opening up of lockdown and have picked up in many states during June 2020".

Radico Khaitan Managing Director Abhishek Khaitan said the company's profitability has improved due to a better state and product mix and a higher share of exports business.

"We recently received a price increase in one of the key liquor consuming states in south India. This price increase also had a positive impact on our profitability. Radico Khaitan continues to focus on further strengthening its premium products portfolio through new launches and ongoing marketing investments," he said.

Radico Khaitan's brand portfolio includes After Dark Whisky, Contessa Rum, Magic Moments Vodka, Morpheus Brandy, Old Admiral Brandy and 8PM Whisky.

Shares of Radico Khaitan were trading 0.22 per cent higher at Rs 395.60 apiece on the BSE.



Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel