Addressing analysts on the earnings call, Khaitan said UP’s excise policy, like with composite retail licenses, should be followed by more states as it allows consumers to choose from beer, IMFL (expand) and foreign brands all in one store, and without the retailers having to opt for separate retail licenses.
Most states in India have a separate license for retailers selling beer, wine and liquor, which means they don’t have the convenience of a ‘compound store’ where consumers can buy everything under one roof.
Khaitan said many states in India are considering following the UP excise model. “Retail should be free and left to the consumer to decide what he wants to buy. The great thing that the Andhra Pradesh government has done is that they have opened up retail to private individuals, they have made brands available on the shelves, and consumers are free to choose from different price points,” he said.
“Radico has clearly benefited from this policy. Just as we are strong in UP, we have also become strong in Andhra Pradesh, mainly due to its availability as a national company. This growth is likely to continue in the coming year as well. We are aware that the government is gradually looking at how to improve the existing policies,” Khaitan said.
Radico Khaitan posted total revenue growth of 48.8% year-on-year (yoy) for the July-September quarter, with net revenue from operations growing 33.8% year-on-year to reach Rs 1,493.9 crore. Volume growth is driven by mainstream and other categories, which grew 79.6% year-on-year, and prestige and above that, up 21.7% year-on-year.
Standalone net profit for the September quarter of Rs 138.95 crore grew 69.1% YoY, while revenue from operations of Rs 5,056.72 crore grew 29.4% YoY.
The company plans to expand its single malt offering, with Rampur remaining one of the star players, along with turpentines, especially with their Magic Moments brand, which crossed seven million cases in FY25.
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