Varun Beverages Ltd reported a strong Q2 FY2026 performance with consolidated revenue of ₹50.48 billion and net profit of ₹7.41 billion, surpassing IBES estimates of ₹7.04 billion. The company also announced the incorporation of a wholly-owned subsidiary in Kenya to scale its international beverage operations.
Varun Beverages Ltd (VBL), PepsiCo’s largest bottler in India, has posted robust Q2 FY2026 results, with consolidated revenue from operations rising to ₹50.48 billion, a 3% year-on-year increase. The company’s net profit surged 19.6% YoY to ₹7.41 billion, beating the IBES consensus estimate of ₹7.04 billion.
Despite a slight dip in EBITDA—down 0.9% to ₹11.4 billion—VBL maintained strong profitability, supported by volume growth and operational efficiency. The company also announced the incorporation of a wholly-owned subsidiary in Kenya, marking a strategic expansion into East Africa’s fast-growing beverage market.
VBL is also exploring new product categories including packaged water and alcoholic beverages, while strengthening its presence in South Africa and Zambia through equity restructuring.
Major Takeaways:
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Revenue: ₹50.48 billion, up 3% YoY
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Net Profit: ₹7.41 billion, up 19.6% YoY; beats IBES estimate of ₹7.04 billion
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EBITDA: ₹11.4 billion, down 0.9% YoY
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New Subsidiary: Incorporated in Kenya for beverage manufacturing and distribution
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Strategic Focus: Expansion in Africa, entry into new beverage segments
Varun Beverages continues to deliver resilient growth while broadening its global footprint and product portfolio.
Sources: ScanX News, LiveMint, CNBC TV18