💰 Financial Performance

Revenue Growth by Segment

Liquor Manufacturing revenue was INR 68.08 Cr in FY25, a 1.53% decrease from INR 69.14 Cr in FY24. Trading in Goods revenue was INR 0.23 Cr in FY25, a 38.38% decrease from INR 0.38 Cr in FY24. Financing income was INR -0.23 Cr in FY25, a 161.77% decrease from INR 0.38 Cr in FY24.

Geographic Revenue Split

Not disclosed in exact percentages, but the company states it is available in restricted geographies and not on a PAN-India basis, with a heavy dependence on regional liquor sales in Telangana (Hyderabad).

Profitability Margins

Operating income margin for Q2 FY26 was 4.5% (INR 2.04 Cr on INR 45.25 Cr revenue). Profit Before Tax margin was negative in Q2 FY26 due to a INR 2.22 Cr notional loss on equity investments.

EBITDA Margin

Standalone liquor segment PBIT margin was 4.57% in FY25 (INR 3.11 Cr profit on INR 68.08 Cr revenue). Core operational efficiency improved QoQ with operating income rising 65.85% to INR 2.04 Cr in Q2 FY26.

Capital Expenditure

The company sanctioned a business advance limit of up to INR 17 Crore to its subsidiary, Liquors India Limited, for factory upgradation and retirement of liabilities.

Credit Rating & Borrowing

Working capital limits in excess of INR 5 Crore have been sanctioned by banks. Specific credit ratings and interest rate percentages are not disclosed.

⚙️ Operational Drivers

Raw Materials

Agri-commodities (imported and domestic), liquor bottling materials (raw materials, packing materials). Specific cost percentages for each are not disclosed.

Import Sources

Not disclosed in available documents, though the company confirms importing agri-commodities for domestic sale.

Capacity Expansion

Current licensed production capacity for the liquor division (Liquors India Limited) is 1.56 million cases per year at its 2-acre industrial facility in Hyderabad.

Raw Material Costs

Not disclosed as a specific percentage of revenue, but the company maintains proper records of inventories including finished goods, raw material, and packing material.

Manufacturing Efficiency

Operating income improved from INR 1.23 Cr to INR 2.04 Cr in Q2 FY26, indicating stronger operational efficiency and better cost management.

📈 Strategic Growth

Expected Growth Rate

Not disclosed

Growth Strategy

Growth will be achieved through backward integration in the liquor value chain via the acquisition of Liquors India Limited, expansion into e-commerce marketplace platforms for goods-trading, and diversifying the agri-trading division.

Products & Services

Indian Made Foreign Liquor (IMFL), fans, fabrics, water heaters, monoblock pumps, laptops, kitchen appliances, and agri-commodities.

Brand Portfolio

Liquors India Limited (Subsidiary). Specific consumer brand names for liquor and appliances are not explicitly listed.

New Products/Services

Expansion into e-commerce for appliances and durables, and diversification into agriculture business within the trading division.

Market Expansion

Expansion of trading activities into e-commerce marketplace platforms and offline channels of distribution.

Strategic Alliances

Strategic acquisition of Liquors India Limited (LIL) in Hyderabad for backward integration.

🌍 External Factors

Industry Trends

The food and beverage industry is highly regulated; the electronics manufacturing sector in India is targeting USD 300 billion by FY26, supported by PLI schemes.

Competitive Landscape

The company faces competitive pressures and operational challenges from both regional and national players in the liquor and trading segments.

Competitive Moat

Moat is built on backward integration in the liquor segment through LIL and a resilient portfolio across two distinct verticals: Trading and Liquor Manufacturing.

Macro Economic Sensitivity

Sensitive to domestic and international political situations and changes in government policies, particularly in the highly regulated liquor and electronics sectors.

Consumer Behavior

Increased demand for e-commerce marketplace platforms for consumer durables and appliances.

Geopolitical Risks

Domestic and international political situations are identified as potential threats to business stability.

⚖️ Regulatory & Governance

Industry Regulations

Operations are governed by national laws and state-specific regulatory bodies for the Food & Beverages industry, as well as compliance with the Companies Act, 2013.

Legal Contingencies

The company has disclosed the impact of pending litigations in Note 31 to the financial statements, though specific case values are not provided in the summary.

⚠️ Risk Analysis

Key Uncertainties

Regulatory and state-policy risks in the liquor segment; market volatility affecting investment fair values (INR 2.22 Cr impact in Q2 FY26); and liquidity risk if current assets are not readily convertible to cash.

Geographic Concentration Risk

High concentration in regional liquor sales, specifically in Telangana, with no PAN-India presence.

Third Party Dependencies

Dependence on e-commerce marketplace platforms and their immediate suppliers for the trading division.

Technology Obsolescence Risk

Advancements in technology are identified as a threat, requiring the company to adapt to digital transformation in its trading and manufacturing processes.

Credit & Counterparty Risk

Credit exposure includes a INR 17 Crore business advance limit to its subsidiary, Liquors India Limited, for operational upgradation.