Sula Vineyards' premium wine range, The Source, sees 50% growth in FY25

Sula Vineyards' premium wine range, The Source, clocked strong 50% year-on-year growth in Fiscal Year 2025, the company said in a statement on Friday. The Mumbai-based wine producing company said that The Source has outperformed its own expectations, driven by a ‘loyal consumer base’ and a surge in preferences for 'high-quality' Indian wines.

According to the company, all six varietals of The Source have registered double-digit year-on-year growth. The Source Moscato has seen over 100% YoY growth since its launch in FY2024, the company stated. The Source Grenache Rosé clocked 30% YoY growth, followed by The Source Cabernet Sauvignon 25% YoY growth, The Source Chenin Blanc Reserve 20% YoY growth, and The Source Sauvignon Blanc Reserve 15% YoY growth, respectively.

Rajeev Samant, CEO of Sula Vineyards, said, "Seeing such strong double-digit growth, especially in a category where consistency and quality are key, is a testament to the love our consumers have for these wines."

Sula Vineyards’ marketing expenses surge by 177.7% to Rs 20.75 crore in FY25

The Source has rapidly expanded its presence across key markets, including Maharashtra, Karnataka, Telangana, Delhi, Uttar Pradesh, West Bengal, Rajasthan, Haryana, Tamil Nadu, Punjab, Madhya Pradesh, Odisha, and Goa, particularly gaining strong traction at the company's hospitality business at Nashik.

Sula Vineyard reported a 10.8% decline in sales of its own brand in the first quarter of fiscal year 2026 to Rs 102.3 crore compared to Rs 114.6 crore in Q1 FY25. The company attributed the subdued revenue growth during the quarter to a slowdown in urban consumption and an increase in excise duties on spirits in Maharashtra.

The duty hike move prompted heavy pre-loading of spirits by the trade, aiming to capitalize on pre-revision prices, thereby temporarily blocking the trade placement for wine, the company stated.

Sula Vineyards records double-digit revenue growth in Q4 and FY24 Notably, the excise duties on wine remain unchanged.

The wine tourism witnessed a marginal increase from Rs 11.3 crore in Q1 FY25 to Rs 13.7 crore in Q1 FY26.

"Wine Tourism continued to demonstrate strong momentum, reporting its highest ever Q1 revenue, propelled by an increase in footfalls, record Q1 resort occupancy and spends per guest," the company said in a filing.

Overall, the revenue of operations of the wine producer dropped by 7.9% to Rs 118.3 crore in the quarter ended on June 30, 2025, compared to Rs 118 crore in Q1 FY25.