United Spirits Ltd (USL), owned by British multinational alcoholic beverage company Diageo, on Wednesday (November 8) reported a 38% year-on-year (YoY) decline in net profit at ₹339.3 crore for the second quarter that ended September 30, 2023.

In the corresponding quarter last year, United Spirits posted a net profit of ₹547.7 crore, the company said in a regulatory filing.

The company's revenue from operations declined 1.4% to ₹2,864.7 crore against ₹2,904.2 crore in the corresponding period of the preceding fiscal. The CNBC-TV18 poll had predicted revenue of ₹2,731 crore for the quarter under review.

At the operating level, EBITDA rose 1.4% to ₹470.1 crore in the second quarter of this fiscal over ₹442.4 crore in the corresponding period in the previous fiscal, beating the CNBC-TV18 poll's EBITDA forecast of ₹417 crore for the quarter under review.

Also Read: Bata India Q2 profit slides 38% to ₹34 crore, misses estimates

The EBITDA margin stood at 16.4% in the reporting quarter compared to 15.2% in the corresponding period in the previous fiscal. EBITDA is earnings before interest, tax, depreciation, and amortisation. The CNBC-TV18 poll had predicted a margin of 15.1%.

The company's consolidated net sales value (NSV) stood at Rs 2,867 crore, up 12% on rebased prior year comparators, in line with growth in the standalone business.

Hina Nagarajan, CEO and Managing Director, said, "We have maintained the growth and margin momentum in the second quarter of fiscal 2024 on the back of sustained investment in our brands and proven productivity muscle. Continuing our future-back consumer focus approach, we have now brought our global tequila trademark Don Julio to India."

The company announced the "payment of interim dividend of ₹4 per equity share (face value ₹2/- each) for the financial year ending March 31, 2024."

"The record date for the purpose of determining the entitlement of the shareholders of interim dividend has been fixed as Friday, November 17, 2023. The interim dividend declared will be paid on or after 4th December 2023," the liquor major said in a statement.

The results came after the close of the market hours. Shares of United Spirits Ltd ended at ₹1,100.40, up by ₹18.25, or 1.69%, on the BSE.

(Edited by : Shoma Bhattacharjee)