The shares of one of the leading alcoholic beverage manufacturers jumped 2 percent in the day’s trade upon commencing operations in its newly set up ethanol plant.
At 3:20 p.m the shares of Associated Alcohols & Breweries Limited were trading at Rs. 515.75, up 1.38 percent from its previous day’s close price of Rs. 508.75 and its market capitalization is Rs. 508.75 Crores.
Associated Alcohols & Breweries Limited has started commercial production in its new ethanol plant equipped with a capacity of 130 KLPD, which was set up with an investment of Rs. 150 Crores.
It is a grain-based ethanol facility equipped with the capability to process various feedstocks. This strategic addition will improve operational efficiency and overall performance. The ethanol plant complements the company’s current offering as a supplier of high-quality Extra Neutral Alcohol (ENA) for its IMFL products and to the other bottlers.
Associated Alcohols & Breweries is engaged in the business of manufacturing and bottling of alcoholic beverages. It manufactures extra neutral alcohol (ENA), Indian Liquor, whiskey, rum, and many more. Some of the brands manufactured by the company are McDowell’s, Black & White Scotch whiskey, VT 69 Scotch, etc.
Its revenue from operations grew by 36.62 percent from Rs. 513.2 Crores in FY22 to Rs. 701.11 Crores in FY23, accompanied by profits of Rs. 60.81 Crores to Rs. 41.56 Crores.
It has reported a return on equity (ROE) of 12.3 percent and a return on capital employed (ROCE) of 14.6 percent, it is making decent returns on its equity and capital employed.
Written by: Bharath K.S
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