Sula Vineyards share price slides over 5.5% on drop in Q4 net profit, stock near 2-month low
₹511.60 apiece during today's trading session, as investors reacted negatively to the company's performance in the March quarter. The decline in the stock price today has pushed it to trade near its lowest point in the past two months.
The company on Wednesday reported a 4.85% decrease in its consolidated net profit to ₹13.55 crore for Q4FY24, compared to ₹14.24 crore in the same period last year. This decline in profit was attributed to a notable increase in total expenses (RM costs), which rose to ₹116.83 crore in Q4 from ₹100.83 crore in the corresponding period the previous year, as per the company's regulatory filing.
Also Read: Piramal Enterprises stock slips over 6% post Q4 numbers, Motilal Oswal cuts rating to 'Neutral' Despite total revenue from operations during the reporting quarter increasing by 12.1% year-on-year (YoY) to ₹135.6 crore, it witnessed a significant decline compared to the ₹217.54 crore reported in the preceding quarter. Overall, for FY24, the company achieved its highest-ever revenue, EBITDA, and PAT (Profit After Tax) of ₹616.4 crore (up 10.7% YoY), ₹183.6 crore (up 11.1% YoY), and ₹93.3 crore (up 11.0% YoY), respectively.
Rajeev Samant, CEO, Sula Vineyards, said, "Our premiumization efforts have succeeded in raising our Elite and Premium wine share to an all-time high of 75.1% in Q4, up from 71.7% a year ago. Our Elite and Premium wines achieved 15.5% growth this year, contributing to an over 110 bps increase in our EBITDA margin to an all-time high in FY24." Rajeev said the company's wine tourism revenues grew in double digits for the fifth quarter in a row.
"Wine tourism is a top priority, and we are expanding fast. Last week, we opened Milestone Cellars by Sula, our first standalone
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