Radico Khaitan Q2 profit surges 72%; board clears merger of units for operational efficiency

Liquor maker Radico Khaitan Ltd on Wednesday reported a 72% jump in quarterly net profit to ₹139.5 crore, driven by improved margins, premium product sales, and stable raw material costs.

Revenue from operations

rose 34% year-on-year to ₹1,493.7 crore, while EBITDA increased 45.4% to ₹237.4 crore. Operating margin expanded to 31.2% from 28% a year earlier.

Lalit Khaitan, Chairman and Managing Director, attributed the robust performance to a “stable raw material scenario, continued focus on premiumization, and operating leverage,” which helped the company deliver strong margins despite global trade challenges.

He added that while exports faced short-term pressures, Radico’s domestic portfolio “underscores the inherent strength and agility” of its business model, positioning it well to drive profitable growth and enhance shareholder value.

Separately, the company’s board approved a scheme of amalgamation involving its wholly owned subsidiary Radico Spiritzs India Pvt Ltd and eight step-down subsidiaries. The merger, subject to regulatory approvals under Sections 230–232 of the Companies Act, aims to streamline operations, reduce compliance costs and improve management efficiency.

Radico said the consolidation will lead to optimized use of capital, reduced administrative overlaps, and better value creation for shareholders. The amalgamation will not involve any cash or share consideration since all entities are wholly owned.

Radico Khaitan shares were last down 0.5% at ₹3,174.60 on the BSE following the announcement.