Stable raw material prices and focus on premiumization helped liquor maker Radico Khaitan report a sharp jump in its net profit for the quarter ending September 2025 (Q2FY26). Radico Khaitan reported a 73% rise in consolidated net profit to Rs 139.5 crore in Q2FY26 from Rs 80.6 crore a year ago.
The company’s consolidated net sales rose 29.4% to Rs 5,056.7 crore in the reported quarter from Rs 3,906 crore in the same period last year.
“Supported by a stable raw material scenario, our continued focus on premiumization, and operating leverage, we delivered strong operating margins while deepening consumer and market engagement. Although the global trade situation has posed short-term challenges for exports, our robust domestic portfolio underscores the inherent strength and agility of our business model,” said Lalit Khaitan, Chairman and Managing Director.
Total Indian made foreign liquor (IMFL) volume for Radico grew by 37.8% to 9.34 million cases in Q2. The prestige & above category (which starts at around Rs 700) volume grew by 21.7% and after nine quarters of degrowth, regular volumes had returned to a sharp growth trajectory. Radico said that the change in the route-to-market in Andhra Pradesh contributed to the regular volume growth to a large extent.
Abhishek Khaitan, Managing Director, said that their premium-first strategy continues to deliver exceptional results. “The Indian spirits landscape is undergoing a fundamental shift towards premiumization, and Radico Khaitan is uniquely positioned to lead this transformation. With a strong innovation pipeline, expanding distribution, and consistent brand investments, we are entering the next phase of accelerated, high-quality growth, both in India and across international markets,” he added.
The company is also targeting Rs 500 crore in sales from the luxury segment this financial year. Abhishek Khaitan stated that Morpheus Rare Luxury whisky continues to strengthen its position in the super-premium whisky segment while The Spirit of Kashmyr vodka is now available in seven states.
The company’s board approved a scheme of amalgamation involving its wholly owned subsidiary Radico Spiritzs India Pvt Ltd and eight step-down subsidiaries. As per the company, these subsidiaries were formed for the purpose of acquiring the land for the Sitapur greenfield project and given that the project is now complete, the amalgamation will streamline the corporate structure and bring the land holdings directly into the company.
