MAM
Pepsi to bring in Gatorade soon?
MUMBAI: Mountain Dew may have been pitched as Pepsi’s new energy drink, but indications are that the beverage major may soon be launching the internationally popular sports drink Gatorade in India in a similar avatar.
Speaking on the sidelines of a media conference to launch Mountain Dew, positioned as a refreshing energy drink for irreverent urban youth, PepsiCo India Holdings chairman Rajeev Bakshi said that the company was looking at launching Gatorade soon. When pressed to specify the timeframe within which the drink would be launched, Bakshi responded with a cryptic “very soon”.
While Tropicana, Pepsi’s offering in the non carbonated soft drinks segment, will continue to be targeted at the top bracket premium consumer with any downward revision ruled out in the short term, Gatorade could well fill the masses’ need for an energy drink in the non CSD market. Pepsi officials present at the Mumbai launch of Mountain Dew, however, pointed out that Gatorade would, in all possibility, not be slotted as a sports drink. Pointing out that India is not a sport crazy country, Pepsi officials said that the company would try and pitch Gatorade as an energy drink instead.
The company is currently conducting ad and consumer research for testing consumer tastes for Gatorade. Bakshi meanwhile said that the company, which had said last year that it was looking at doubling its 120 million strong consumer base in three to four years, is on course for the target. Pepsi A-ha, the lemon tinged cola introduced last March, meanwhile commands an eight to 10 per cent share of total Pepsi sales, he said.
Brands
Kwality Wall’s reports standalone losses following strategic HUL demerger
Ice cream major faces Rs 64 crore Ebitda loss amid commodity inflation and muted Q3 sales
MUMBAI: Kwality Wall’s (India) Limited (KWIL) has released its first set of financial results as a standalone entity, revealing a challenging start to its independent journey. Following its successful demerger from Hindustan Unilever Limited (HUL) on 1st December 2025 and its subsequent listing on 16th February 2026, the company is navigating a transition period marked by structural changes and high input costs.
For the quarter ended 31st December 2025, the company reported revenue of Rs 222 crores. Despite the revenue base, the bottom line was impacted by several factors, resulting in an Ebitda loss of Rs 64.2 crores. When calculated on a Pre-IND AS 116 basis, the Ebitda loss stood at Rs 83.8 crores.
Organic Sales Growth (OSG) declined by 6.5 per cent year-on-year during the quarter. Volume growth, however, saw a marginal increase of 1.2 per cent. The company reported a gross margin of 41.5 per cent. Additionally, exceptional expenses amounting to Rs 94 crores were recorded, primarily linked to non-recurring costs during the transition phase.
Performance across portfolios and channels was mixed. Within the impulse portfolio, brands such as Magnum and Cornetto recorded mid-single digit volume growth, indicating steady demand in on-the-go consumption. However, the in-home portfolio, which includes take-home packs, experienced muted consumption. The company is planning a relaunch of this category with improved offerings ahead of the 2026 season.
Quick commerce (Q-Com) continued to emerge as a strong growth driver, delivering robust double-digit growth during the quarter. Meanwhile, the company also expanded its physical distribution network by increasing the number of company-owned cabinets across markets.
Margin pressure during the quarter was driven by a combination of one-off factors and broader cost inflation. Gross margins were impacted by around 600 basis points due to trade investments made for stock liquidation. Additionally, cocoa price inflation contributed to another 400 basis points of pressure on margins.
Deputy managing director Chitrank Goel attributed the muted performance partly to prolonged monsoons and transitional challenges linked to the GST framework. Operating expenses also increased as the company invested in establishing its standalone supply chain, operational systems and corporate infrastructure following the demerger.
Looking ahead, the management remains focused on a volume-driven growth strategy. To restore profitability, the company has initiated a cost productivity programme aimed at reducing non-consumer-facing costs. It is also working on building regional manufacturing networks to optimise logistics expenses and improve operational efficiency.
The commodity outlook for the near term remains mixed. Dairy prices are expected to remain firm due to tight supply conditions and rising fodder costs. Sugar prices may also move higher following increases in the Minimum Selling Price (MSP). While cocoa prices have moderated recently, currency depreciation has offset some of the potential cost relief for the company.
