Varun Beverages posts 24% rise in revenue in Q1 FY19

Varun Beverages Limited (VBL), one of the largest franchisee of PepsiCo worldwide, has reported 24% increase in its revenue from operations to Rs 1,359 crore in the first quarter of 2019 (January to March). The company posted a revenue of Rs 1,095 crore in the year-on period.

VBL’s total sales volumes are up 12.3% at 9.03 crore unit cases in Q1 2019 in comparison with 8.04 crore unit cases in Q1 2018. Its EBITDA (earnings before interest, tax, depreciation and amortization) grew by 26.5% to Rs 218.4 crore from Rs 172.7 crore.

Ravi Jaipuria, Chairman of Varun Beverages Limited, said, "We have concluded the acquisition of franchise rights in south and west regions from PepsiCo for a national bottling, sales and distribution footprint in seven states and five union territories."

"This consolidates our dominant position as a key player in the beverage industry. VBL now accounts for more than 80 per cent PepsiCo India's beverage sales volumes in India from 51 per cent earlier, and has expanded its presence to 27 states and seven union territories across India," he added.