Revenue, volumes and Africa expansion power strong quarter; company also eyes solar energy investment and South Africa acquisition
Varun Beverages, Pepsico’s largest franchise bottler in India, reported a 33 per cent year-on-year rise in consolidated net profit to Rs 260 crore for the quarter ended December 2025, while total income climbed 14.8 per cent to Rs 4,433.90 crore and consolidated sales volumes grew 10.2 per cent to 23.7 crore cases, driven by steady demand in India and continued expansion in international markets, particularly Africa.
Net profit stood at Rs 195.64 crore in the corresponding quarter last year. Ebitda for the reporting quarter rose 10.2 per cent to Rs 639 crore from Rs 580 crore a year ago, according to the company’s exchange filing.
The performance exceeded Street estimates on both earnings and revenue. Analysts at Pantomath Group had projected net profit of Rs 242.90 crore, implying 31 per cent growth, and revenue of Rs 3,996.30 crore, up 8.3 per cent YoY. Ebitda was estimated at Rs 642.80 crore, broadly in line with the reported figure. Revenue from operations during the quarter came in at Rs 4,334 crore, marking a 13.5 per cent increase over Rs 3,817 crore in Q4CY24.
Geographically, India volumes expanded 10.5 per cent during the quarter, while international markets recorded 10 per cent growth.
For the full calendar year 2025, revenue from operations (net of excise or GST) rose 8.4 per cent YoY to Rs 21,685 crore, compared with Rs 20,007.6 crore in CY2024. Consolidated sales volumes for the year increased 7.9 per cent to 121.3 million cases.
Annual Ebitda grew 7.2 per cent to Rs 5,049 crore from Rs 4,711 crore in the previous year. Profit after tax for CY2025 rose 16.2 per cent to Rs 3,062 crore, up from Rs 2,634 crore in CY2024.
Commenting on the performance, Ravi Jaipuria, Chairman, Varun Beverages, said the company’s international operations continued to scale, led by Africa. He noted that international volumes grew 10 per cent in Q4, supported by expansion in general trade reach, the addition of visi-coolers, and progress on backward integration and capacity expansion, which strengthened supply chain efficiency and cost competitiveness.
Jaipuria also highlighted the company’s proposed acquisition of Twizza in South Africa, subject to regulatory and other approvals, as part of its international growth strategy.
“Our balance sheet remains strong, supported by healthy cash flows, providing flexibility to support organic expansion, invest in cold-chain and distribution infrastructure, and pursue value-accretive strategic opportunities,” Jaipuria said, adding that the company remains confident about long-term growth prospects across India and international markets.
Separately, VBL unveiled plans to invest up to 30 per cent equity in FPEL HR2 Energy to source solar power for captive consumption. The company will invest up to Rs 1.58 crore, in one or more tranches, in the special purpose vehicle incorporated on 1 August 2025.
The solar power sourced from FPEL HR2 will be used at VBL’s facilities in Nuh and Panipat, as well as any future units in Haryana, as part of its sustainability and energy efficiency initiatives.
