United Spirits' consolidated ad spend jumps 16% in Q3, profit declines 4.2%

Liquor giant United Spirits Limited has significantly increased its spending on advertisements and promotions, with a notable 15.5% surge in the third quarter of FY 25. The parent company of brands like Johnnie Walker, Baileys, Godawan, and others spent Rs 379 crore on ads and promotion in the December quarter of 2024 compared with Rs 328 crore in the same period last year. On consolidated basis, the company's ad spend saw 16% rise at Rs 382 crore.

The alcoholic beverage company has booked a standalone profit of Rs 473 crore in Q3 FY 25--a 36.3 percent rise year-on-year.

The total income of United Spirits has also climbed to Rs 7,921 crore in Q3 FY 25 from Rs 6,995 crore in Q3 FY 24, driven by resilient consumer demand in peak festive season and a fast scale-up in Andhra Pradesh.

“Amidst a moderate but sequentially improving demand environment, we have delivered a quarter in line with our aspirations buoyed by the festive season and fast scale-up in the state of Andhra Pradesh. Looking ahead, we remain cautiously optimistic in the short term while remaining committed to the long-term potential of the India consumer story," Hina Nagarajan, CEO & Managing Director said.

The consolidated net sales of United Spirits stood at Rs 3,433 crore, up 14.4 percent year-on-year, broadly in line with growth in the standalone business. The consolidated profit of the company stood at Rs 335 crore in Q3 compared to Rs 350 crore in the same period last fiscal.

According to the BSE filing of the company, the standalone net sales of United Spirits stood at Rs 3,432 crore- up 14.8 percent year-on-year with the Prestige & Above segment growing 16.1 percent.

For the popular segment, the standalone net sales grew 9.6 percent during the quarter. United Spirits registered an EBITDA of Rs 588 crore, an increase of 19.8 percent year-on-year.