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Som Distilleries Eyes 50% Sales Growth In Financial Year 2018-19

Som Distilleries’ Chairman said that the company is currently running at full capacity.

Foam spills over as a bartender pours a glass of beer. (Photographer: Anthony Kwan/Bloomberg)
Foam spills over as a bartender pours a glass of beer. (Photographer: Anthony Kwan/Bloomberg)

Som Distilleries & Breweries Ltd. expects 50 percent sales growth in the current financial year, aided by growth in new domestic markets such as Karnataka, where it has opened a new plant, and regions like Vidharbha in Maharashtra.

The company also expects to expand exports to 80 percent of the 50 states in the U.S. within this financial year from four at present, its Chairman and Managing Director JK Arora told BloombergQuint in a post-earnings interview.

The maker of Hunter Beer will focus on digital marketing in Karnataka, as it will be able to serve only in three states in the south from the new plant set up here.

The Bhopal-based company reported strong earnings during January-March period led by expansion to new markets, Arora said.

Key earnings highlights (Q4 YoY):

  • Net profit up 152 percent at Rs 6.3 crore.
  • Net sales up 50.3 percent at Rs 101.3 crore.
  • Ebitda up 140 percent at Rs 16.8 crore.
  • Margin at 16.6 percent versus 10.4 percent.

Shares of the alcohol maker rose as much as 7.2 percent to Rs 300, the highest since January 2014.

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