Varun Beverages Ltd logo

Varun Beverages Ltd

VBL NSE

Key Fundamentals

LargecapNon Alcoholic BeveragesBeverages
Market Cap
1.5L Cr
Volatility
Moderate
P/E Ratio
43.89
EBITDA
₹5,402 Cr
Return on Equity
15.51%
Debt to Equity
0.13
Book Value
₹57.88
EPS
₹18.65
52W High
₹555.8
52W Low
₹381

Insights

Beta

AI-extracted from concalls & annual reports · figures as reported, with sources

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43 extracted metrics + investor summaries across FY14–FY26.

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Tapetide Score

Data-driven rating, 0–100. How it works →

Technical Indicators

Key Insights

Strengths

2
  • Company has delivered good profit growth of 50.2% CAGR over last 5 years
  • Company's median sales growth is 23.2% of last 10 years

Weaknesses

2
  • Stock is trading at 7.49 times its book value
  • Promoter holding has decreased over last 3 years: -4.18%

Growth Rate

Revenue Growth
9.48% ↘
Net Income Growth
16.24% ↘
Cash Flow Change
3.79% ↗
ROE
-1.46% ↘
ROCE
-6.76% ↘
EBITDA Margin (Avg.)
2.08% ↘

AI Analysis — Bull vs Bear

Anthropic anthropic claude-opus-4.6 3d ago
AI opinion · based on fundamentals
Risk medium

Varun Beverages, the largest PepsiCo bottler outside the US, trades at a market cap of ₹1,48,077 crore with a PE of 43.5x and PB of 7.57x. The company delivered 50% profit CAGR over five years and 27% sales CAGR over the same period, but recent ROE has declined to 16% from a 5-year average of 22%, and promoter holding fell sharply from 40.2% to 31.7% in the December 2024 quarter alone.

Bull Case 8
  • Exceptional 5-year compounded profit growth of 50% CAGR, significantly outpacing FMCG sector averages
  • Strong 5-year compounded sales growth of 27% CAGR with a 10-year median sales growth of 23.2%, demonstrating consistent top-line expansion
  • Q1 CY2025 revenue grew 28.9% YoY to ₹5,680 crore with volume growth of 30.1%, showing continued operational momentum
  • Q1 CY2025 PAT rose 35.2% YoY to ₹726.4 crore, indicating strong profit conversion on higher volumes
  • Aggressive international expansion into 7 African markets including $125 million Twizza acquisition in South Africa and Carlsberg partnership for alcoholic beverages
  • Four new greenfield plants commissioned in 2025 with backward integration, expected to drive operating leverage on higher volumes
  • International volumes grew 21.4% in Q1 CY2026, diversifying revenue away from weather-dependent Indian market
  • TTM revenue growth of 14% and TTM profit growth of 19% indicate continued double-digit expansion even in a normalizing base year
Bear Case 8
  • PE ratio of 43.5x is more than double the sector PE of 18.5x, leaving limited margin of safety at current valuations
  • Promoter holding dropped sharply from 40.2% to 31.7% in a single quarter (Sep to Dec 2024), a decrease of 8.4 percentage points
  • Stock trading at 7.57x book value, well above typical FMCG multiples, pricing in sustained high growth
  • ROE declined to 16% in the last year from a 5-year average of 22%, suggesting returns on capital are compressing as the asset base expands rapidly
  • 1-year stock CAGR of -12% indicates the market has already de-rated the stock despite continued earnings growth
  • FII holding fell to 19.5% in March 2026 from 25.3% in December 2024, showing institutional selling pressure
  • Q2 CY2025 revenue declined 2.5% YoY, highlighting vulnerability to weather-related demand disruptions in India
  • Dividend yield of just 0.23% offers minimal income support during periods of capital depreciation

This is AI-generated analysis, not financial advice. Do your own due diligence.

AI News Digest

Anthropic anthropic claude-opus-4.6 20h ago
Positives 5
  • Q2CY26 profit up 15.1% YoY Jul 28

    Consolidated net profit rose 15.1% to ₹15,253.55 million on 19.8% volume surge (466.7M unit cases) and 20.4% revenue growth to ₹84,512.32 million. H1CY26 net profit grew 16.9% to ₹24,040.7 million.

  • Kenya dairy acquisition completed Aug 1

    VBL Kenya completed acquisition of Devyani Food Industries (Kenya) business for USD 32 Million, effective August 1, 2026, expanding into dairy segment.

  • Zimbabwe JV incorporated Aug 4

    Subsidiary incorporated a joint venture in Zimbabwe with Mega Market Private Limited for holding and investment purposes, extending African footprint.

  • ESG rating improves to 63 Aug 11

    NSE Sustainability Ratings assigned ESG Rating of 63 for FY2026, up from 62 in FY2025, reflecting improved sustainability metrics.

  • Interim dividend of ₹0.50/share Jul 28

    Board declared interim dividend of ₹0.50 per share with record date August 1, 2026, signaling confidence in cash flows.

Neutral 3
  • ₹67.93 Cr block trade on NSE Jul 22

    Approximately 1,484,551 shares traded in a block deal at ₹457.55 per share totaling ₹67.93 crores, indicating large institutional activity.

  • New CHRO and CMO appointed Jul 20

    Sarabjeet Singh Gujral appointed CHRO and Srinivasan Sourirajan as CMO effective July 20, 2026, strengthening senior leadership.

  • Q2 earnings call hosted Jul 28 Jul 22

    Conference call held July 28 at 2:30 PM IST to discuss Q2 and H1 CY2026 unaudited financial results with senior management.

TL;DR: Varun Beverages is executing well across all fronts — strong double-digit volume, revenue, and profit growth in Q2CY26, aggressive international expansion into Africa, and diversification into dairy via Kenya acquisition and CALPIS alliance. No material headwinds are visible in recent news flow. The trend is clearly improving with PepsiCo EBA extended to 2049 providing long-term visibility, though investors should monitor integration risks from rapid M&A activity and margin sustainability at elevated volume growth rates.

Quarterly Results

  Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026Jun 2026
Sales
5,611
3,871
2,668
4,317
7,197
4,805
3,689
5,567
7,017
4,897
4,204
6,574
8,451
Expenses
4,101
2,989
2,249
3,329
5,206
3,654
3,110
4,304
5,020
3,751
3,568
5,049
6,112
Operating Profit
1,511
882
418
989
1,991
1,151
579
1,263
1,998
1,146
637
1,525
2,339
OPM %
27%
23%
16%
23%
28%
24%
16%
23%
28%
23%
15%
23%
28%
Other Income
42
19
9
8
44
24
45
28
77
148
99
44
104
Interest
69
62
74
94
129
119
109
41
37
45
47
49
57
Depreciation
172
171
166
188
242
257
261
273
306
308
330
357
409
PBT
1,311
667
188
716
1,663
800
254
978
1,732
941
359
1,163
1,977
Tax %
23%
23%
24%
23%
24%
21%
23%
25%
23%
21%
28%
24%
23%
Net Profit
1,005
514
144
548
1,262
629
196
731
1,325
745
260
879
1,525
EPS in Rs
3.06
1.54
0.41
1.65
3.86
1.91
0.55
2.15
3.89
2.19
0.74
2.58
4.5
Figures in ₹ Crores

Profit & Loss

  Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025TTM
Sales
2,502
3,394
3,861
4,004
5,105
7,130
6,450
8,823
13,173
16,043
20,008
21,685
24,126
Expenses
2,116
2,752
3,052
3,165
4,069
5,667
5,235
7,129
10,310
12,326
15,189
16,616
18,480
Operating Profit
387
642
810
838
1,036
1,462
1,215
1,694
2,863
3,717
4,818
5,070
5,646
OPM %
15%
19%
21%
21%
20%
21%
19%
19%
22%
23%
24%
23%
23%
Other Income
14
36
27
14
6
47
-30
51
-18
-5
45
352
395
Interest
187
170
435
215
223
324
294
207
204
292
483
196
197
Depreciation
210
317
322
347
385
489
529
531
617
681
947
1,216
1,404
PBT
4
191
79
291
434
696
363
1,007
2,024
2,739
3,433
4,010
4,440
Tax %
658%
41%
39%
26%
31%
32%
1%
26%
23%
23%
23%
24%
—
Net Profit
-20
113
48
214
300
472
357
746
1,550
2,102
2,634
3,062
3,409
EPS in Rs
-0.09
0.5
0.14
0.68
0.95
1.44
1.01
2.14
4.61
6.33
7.67
8.98
10.01
Div. Payout %
0%
0%
0%
22%
16%
15%
22%
16%
15%
16%
13%
17%
—
Figures in ₹ Crores

Balance Sheet

  Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Equity Capital
134
134
182
183
183
289
289
433
650
650
676
676
Reserves
9
91
1,511
1,587
1,816
3,040
3,235
3,647
4,453
6,287
15,934
18,902
Borrowings
2,615
2,527
2,215
2,654
2,808
3,417
3,216
3,387
3,884
5,431
2,826
2,508
Other Liabilities
533
1,680
915
852
1,192
1,630
1,707
2,113
2,632
2,819
3,688
3,454
Total Liabilities
3,292
4,431
4,824
5,276
5,998
8,376
8,447
9,579
11,618
15,187
23,124
25,541
Fixed Assets
2,355
3,496
3,716
3,981
4,387
6,479
6,409
6,311
6,932
8,409
13,402
16,759
CWIP
25
38
96
145
352
64
67
497
607
1,922
1,167
271
Investments
304
3
7
8
11
0
0
0
0
21
60
174
Other Assets
608
894
1,006
1,141
1,247
1,833
1,972
2,772
4,079
4,835
8,496
8,337
Total Assets
3,292
4,431
4,824
5,276
5,998
8,376
8,447
9,579
11,618
15,187
23,124
25,541
Figures in ₹ Crores

Cash Flow

  Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Operating
431
555
826
620
1,000
1,308
1,012
1,231
1,790
2,391
3,381
3,509
Investing
-500
-300
-1,048
-746
-937
-2,320
-472
-1,008
-1,769
-3,288
-4,311
-2,725
Financing
58
-236
230
159
-84
1,107
-574
-178
-18
985
2,954
-1,266
Net Cash Flow
-11
19
8
32
-22
95
-33
46
4
88
2,024
-482
Free Cash Flow
211
290
45
103
191
575
476
416
40
-803
-359
797
CFO/OP
114
94
109
81
104
98
90
80
76
82
85
87
Figures in ₹ Crores

Ratios

  Dec 2014Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Debtor Days
14
11
12
14
9
9
14
9
8
8
15
21
Inventory Days
77
90
103
88
94
100
123
131
116
106
114
111
Days Payable
48
39
58
38
52
54
68
64
48
37
64
53
Cash Conversion Cycle
43
62
58
64
52
55
69
76
76
77
66
79
Working Capital Days
-99
-73
-89
-65
-50
-37
-47
-34
-24
-9
16
31
ROCE %
7%
12%
16%
12%
15%
18%
11%
17%
27%
29%
25%
20%

Shareholding Pattern

As of Jun 2026
Promoters 59.43%
FIIs 19.03%
DIIs 15.21%
Public 4.93%
Others 1.40%
Total 100.00%
  Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Nov 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026Jun 2026
Promoters
66.40%
65.82%
64.89%
64.89%
64.89%
63.90%
63.90%
63.90%
63.90%
63.62%
63.10%
63.09%
62.91%
62.66%
62.66%
60.20%
60.20%
60.24%
59.82%
59.44%
59.44%
59.44%
59.43%
FIIs
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.01%
0.01%
26.58%
25.78%
25.32%
24.18%
25.24%
25.26%
22.98%
21.85%
21.93%
20.31%
19.51%
19.03%
DIIs
5.54%
5.56%
6.48%
6.70%
6.72%
4.97%
4.16%
3.44%
3.68%
2.94%
3.36%
3.59%
4.15%
4.55%
4.98%
6.49%
7.02%
9.21%
10.52%
11.79%
13.56%
14.40%
15.21%
Government
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
Public
3.65%
4.02%
3.57%
3.80%
4.02%
4.19%
4.09%
4.09%
4.22%
4.52%
4.27%
4.71%
5.00%
5.16%
5.87%
5.85%
5.52%
5.81%
6.27%
5.42%
5.20%
5.22%
4.93%
Others
24.41%
24.61%
25.06%
24.61%
24.37%
26.94%
27.85%
28.56%
28.19%
28.92%
29.26%
2.04%
2.15%
2.31%
2.31%
2.21%
2.00%
1.77%
1.52%
1.42%
1.50%
1.44%
1.40%
No. of Shareholders
56,213
1,08,875
1,15,450
1,37,939
1,37,208
1,73,935
2,35,804
2,44,975
2,61,286
3,53,742
3,75,534
4,40,278
4,89,887
5,09,607
6,98,759
7,72,415
7,42,488
8,73,915
9,68,419
9,02,881
8,72,933
8,77,604
8,13,548

Documents

Frequently Asked Questions about Varun Beverages Ltd

What does Varun Beverages Ltd do?
Varun Beverages Ltd has been associated with PepsiCo since the 1990s and is a key player in beverage industry and one of the largest franchisee of PepsiCo in the world. The company produces and distributes a wide range of carbonated soft drinks, non-carbonated drinks and packaged water sold under...
Where is Varun Beverages Ltd (VBL) listed?
Varun Beverages Ltd is listed on the Indian stock exchanges. It is listed on NSE: VBL and BSE: 540180. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Varun Beverages Ltd belong to?
Varun Beverages Ltd operates in the Fast Moving Consumer Goods sector within the Beverages industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Varun Beverages Ltd?
Varun Beverages Ltd has a market capitalisation of approximately ₹149209.99 Cr. Based on this, it is classified as a Large Cap stock.
What is the PE ratio of Varun Beverages Ltd?
The Price-to-Earnings (PE) ratio of Varun Beverages Ltd is 43.89. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Varun Beverages Ltd?
Over the past 52 weeks, Varun Beverages Ltd has traded between a low of ₹381 and a high of ₹555.8. This range helps investors understand the stock's price volatility and recent trading levels.
Does Varun Beverages Ltd pay dividends?
Yes, Varun Beverages Ltd has a dividend yield of 0.23%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Varun Beverages Ltd?
Varun Beverages Ltd has a Return on Equity (ROE) of 15.51%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Varun Beverages Ltd on Tapetide?
On Tapetide, you can view Varun Beverages Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.

Company Information

Varun Beverages Ltd has been associated with PepsiCo since the 1990s and is a key player in beverage industry and one of the largest franchisee of PepsiCo in the world. The company produces and distributes a wide range of carbonated soft drinks, non-carbonated drinks and packaged water sold under trademarks owned by PepsiCo. PepsiCo brands produced and sold by the company include Pepsi, Seven-up, Mirinda Orange, Mountain Dew, Tropicana Juices and many more. [1]

Website varunbeverages.com
CEO Mr. Varun Ravi Kant Jaipuria
Employees 11,041
Listed 2016-11-08
Face Value ₹ 2
Issued Size 3,38,19,88,769

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