India: United Breweries says net profit increased by 18% in Q3 ended December 2020

United Breweries Ltd (UBL), India’s biggest brewer, on January 28 said net profit increased 18% to Rs 126.37 crore for the third quarter ended December, from Rs 106.37 crore a year ago, the Economic Times reported.

The maker of Kingfisher beer posted a 5.73% decline in net sales to Rs 3069.15 crore in the period under review as compared to the same period last year when it had clocked Rs 3255.97 crore net sales.

In a stock exchange filing, Heineken-controlled UBL said volume recovery was sharper over the previous quarter with most markets bouncing back. All regions barring north recorded strong growth compared to the previous quarter with all-India sequential growth clocking 37%.

“With most markets showing recovery in Q3, volumes were at 85% of previous year, helped by the doubling of volume in West Bengal, growth in the markets of Uttaranchal, Madhya Pradesh, Jharkhand, North-East, Karnataka, Haryana and Himachal Pradesh. Tamil Nadu and rest of Maharashtra remained flat,” the company said.

Volumes of strong beer recovered faster than mild beer across markets, the filing stated.

UBL stated that industry outlook continues to be positive yet remains volatile and dependent on the future trajectory of the pandemic.

The company announced the quarter results after market closed. The stock price of UBL was Rs 1,283.25 at closing time.

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