Consolidated Sales Volume
363.4M cases
+16.3% YoY
Volume growth of 14.4% in India and 21.4% in international territories.
VARUNBEVERAGES
Other
15 Apr 2026
Varun Beverages Ltd — Q4 FY26
Varun Beverages delivered a strong Q1 CY2026, with consolidated revenue up 18.1% YoY to ₹6,574 crore and EBITDA up 21% YoY to ₹1,529 crore, driven by volume growth of 16.3% (India +14.4%, international +21.4%).
✓ Verified against BSE filing
2-Min Summary
Varun Beverages delivered a strong Q1 CY2026, with consolidated revenue up 18.1% YoY to ₹6,574 crore and EBITDA up 21% YoY to ₹1,529 crore, driven by volume growth of 16.3% (India +14.4%, international +21.4%). EBITDA margin expanded 55bps to 23.3% despite inflationary pressures, aided by early raw material stocking, operational efficiencies from new large-scale plants, and premiumization. Management highlighted robust demand, a favorable summer start, and aggressive distribution expansion (targeting +0.5M outlets). Key risks include potential crude-driven input cost inflation and adverse weather, though management is hedged for 1-2 quarters and confident in absorbing shocks via cost cuts and discount reduction.
Key Numbers
India Volume Growth
14.4%
+14.4% YoY
Supported by distribution expansion and new plant capacities.
International Volume Growth
21.4%
+21.4% YoY
Broad-based growth across all international markets, including South Africa.
Low/No Sugar Mix
63%
+63% of volume
Increased mix of healthier offerings, reflecting portfolio premiumization.
Management Guidance
Capex below ₹600 crore in CY2026
Management guided capex of less than ₹500-600 crore for the year, as existing capacity is sufficient to support 50% volume growth.
capexDouble-digit volume growth expected for 5-10 years
Management expressed confidence in sustained double-digit volume growth in India over the next 5-10 years, driven by favorable demographics and market expansion.
growthDistribution outlet addition of ~0.5 million in CY2026
Management plans to add approximately half a million new outlets this year, up from the current base of ~4 million.
expansionKey Risks
Crude oil price inflation impact on input costs
Sustained high crude oil prices could increase packaging and transportation costs beyond current hedges, pressuring margins.
medium · analyst_questionAdverse weather conditions
Unseasonal rains or poor summer weather could dampen demand, as seen in the prior year.
high · management_commentaryAluminum can shortage for energy drinks
Strong demand for energy drinks like Adrenaline Rush and Sting is constrained by can availability, potentially capping growth.
medium · management_commentaryCompetitive intensity from new entrants
Aggressive expansion by competitors like Campa Cola could pressure market share and pricing.
medium · analyst_questionNotable Quotes
We are fully prepared and we have enough capacity that even if we get a 50% growth we can comfortably do it without adding any capacity.
We might be the only company which is holding 6 months inventory. So I think other people will blink before I blink.
If the weather remains like this, there's no reason why we shouldn't do extremely well.