Synopsis:
Allied Blenders and Distillers Ltd. (ABD) has commissioned a PET bottle manufacturing plant at its integrated facility in Rangapur, Telangana, alongside India’s first single malt distillery.
A domestic spirits stock saw a positive market response today as investors cheered the commissioning of a major PET bottling facility and India’s first single malt distillery. The company’s integrated expansion is expected to reduce reliance on external suppliers, lower logistics costs, and strengthen profitability, signaling a strategic step in the Indian alcobev sector’s operational evolution.
Allied Blenders and Distillers Ltd., with a market capitalization of Rs. 14,269.41 crore, opened at Rs. 510, touched a high of Rs. 522, and had a previous close of Rs. 507.70, reflecting an intraday increase of 2.84 percent.
What’s the News?
Allied Blenders and Distillers Ltd. (ABD), India’s largest domestic spirits company by volume, inaugurated a PET bottle manufacturing facility at its integrated manufacturing plant in Rangapur, Telangana.
With an annual production capacity of over 600 million bottles, the facility will fulfill a significant portion of ABD’s packaging needs, enhancing supply chain efficiency and profitability. Built at an investment of Rs. 115 crore, the plant allows in-house PET bottle production, reducing reliance on external suppliers and cutting logistics costs.
Strategically situated in an integrated alcobev facility in Telangana, which already houses an ENA distillery, an IMFL bottling unit, and the upcoming Single Malt Plant, the PET facility incorporates highly automated robotics-packaging systems, Japanese energy-saving equipment, and advanced recycling capabilities.
This commissioning is part of ABD’s larger Rs. 525 crore backward integration program, which also includes the PET bottling unit, India’s first single malt distillery in Rangapur, and the expansion of its recently acquired ENA distillery in Maharashtra. The combined investments are expected to enhance operational efficiency and improve gross margins by approximately 300 basis points by FY28.
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Management Commentary
Speaking on the launch, Alok Gupta, Managing Director, ABD, said, “This new PET facility at Rangapur reflects our integrated approach to manufacturing. By leveraging existing land and infrastructure, we have kept costs low, accelerated execution, and minimized environmental impact. The facility’s automation and advanced technologies give us greater control over packaging, strengthen support for our portfolio products, and improve efficiency.”
Financial Snapshot-Q1 Summary
On a quarter-on-quarter basis, ABD reported sales of Rs. 923 crore, up from Rs. 921 crore, an increase of 0.22 percent. Operating profit fell from Rs. 136 crore to Rs. 112 crore, down 17.65 percent, while PBT declined from Rs. 106 crore to Rs. 76 crore, down 28.30 percent. Net profit dropped from Rs. 79 crore to Rs. 56 crore, a decline of 29.11 percent.
On a year-on-year basis, sales jumped from Rs. 758 crore to Rs. 923 crore, an increase of 21.79 percent. Operating profit rose from Rs. 74 crore to Rs. 112 crore, up 51.35 percent. PBT surged from Rs. 16 crore to Rs. 76 crore, an increase of 375 percent, while net profit grew from Rs. 11 crore to Rs. 56 crore, up 409.09 percent.
About the Company
Allied Blenders and Distillers Limited (ABD) is India’s largest domestic spirits company in terms of annual sales volumes. The company operates across five main beverage categories: whisky, brandy, rum, vodka, and gin, with leading brands such as Officer’s Choice Whisky, Officer’s Choice Blue Whisky, Sterling Reserve Premium Whiskies, and ICONiQ White Whisky. ABD’s manufacturing network comprises 37 units, including 9 owned bottling units, 2 owned distilleries, and 26 non-owned manufacturing units.
Inshorts: Allied Blenders and Distillers Ltd, commissioned a Rs. 115 crore PET bottle manufacturing plant at its Rangapur facility, along with India’s first single malt distillery, as part of a Rs. 525 crore backward integration program.
The move is expected to reduce external supplier reliance, lower logistics costs, and improve gross margins by FY28. The stock touched a high of Rs. 522, reflecting a 2.84 percent intraday gain
Written By Manan Gangwar
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