Brands
Varun Beverages Q1 profit up 20 per cent, revenue climbs 18 per cent
Strong volumes and South Africa push drive growth as expansion gathers pace
MUMBAI: Varun Beverages Limited has kicked off calendar year 2026 on a strong note, posting double-digit growth across key metrics for the first quarter ended 31 March, driven by robust volumes and international expansion.
Revenue from operations rose 18.1 per cent year-on-year to Rs. 6,574.19 crore, up from Rs. 5,566.94 crore in the same period last year. The growth was powered by a 16.3 per cent increase in consolidated sales volumes, which reached 363.4 million cases. While India recorded a healthy 14.4 per cent growth, international markets surged ahead with a 21.4 per cent rise, underlining the company’s expanding global footprint.
Profitability also held firm despite inflationary pressures on raw materials. Gross margins improved by 62 basis points to 55.2 per cent, supported by strategic early stocking. EBITDA grew 21.0 per cent to Rs. 1,528.93 crore, with margins expanding to 23.3 per cent. Net profit climbed 20.1 per cent to Rs. 878.71 crore, reflecting strong operational performance.
In terms of pricing trends, net realisation per case in India dipped 1.5 per cent as the company pushed volume-led strategies through larger pack sizes and entry-level price points. However, international realisations rose 1.6 per cent, aided by favourable currency movements. The company’s product mix is also evolving, with low- or no-sugar beverages now accounting for 63 per cent of total volumes, even as carbonated soft drinks continue to dominate at 73.6 per cent.
A key highlight of the quarter was the strengthening of its African presence. The company completed the acquisition of Twizza Pty Limited in South Africa through its subsidiary BevCo at an enterprise value of ZAR 2,053 million, making it a step-down subsidiary in March. It has also entered into an agreement to acquire Crickley Dairy for approximately ZAR 238 million, further deepening its play in the region.
Reflecting its performance, the board approved an interim dividend of Rs. 0.50 per share, amounting to a total payout of Rs. 169.1 crore. Depreciation rose 30.9 per cent following the commissioning of new plants across Buxar, Prayagraj, Damtal and Meghalaya, while finance costs increased 18.0 per cent due to funding requirements for the Twizza acquisition.
Commenting on the outlook, Varun Beverages Limited chairman Ravi Jaipuria highlighted favourable demographics and rising urbanisation as key drivers of long-term demand across India and Africa.
With strong volume momentum and a growing international footprint, Varun Beverages appears well positioned to sustain its growth trajectory through the year.
Brands
Amazon Now to reach 100 cities with 1,000 plus centres in Rs 2,800 crore push
Rs 2,800 crore push fuels rapid delivery expansion as quick commerce heats up
NEW DELHI: Amazon India is significantly expanding its ultra-fast delivery service Amazon Now, with plans to scale operations to 100 cities across India, backed by a network of over 1,000 micro-fulfilment centres.
The move is part of a broader Rs 2,800 crore investment aimed at strengthening the company’s operations network while also enhancing safety, health and financial wellbeing programmes for thousands of associates, including fulfilment centre staff and delivery partners.
Amazon Now offers a curated selection of thousands of daily essentials, ranging from groceries such as fresh fruits, vegetables and frozen food to personal care, fashion and beauty products, small appliances, baby products, pet supplies and healthcare supplements. These are delivered within minutes, positioning the service at the centre of India’s rapidly evolving quick commerce landscape.
The expansion will take Amazon Now beyond its existing footprint in Mumbai, Delhi-NCR and Bengaluru to a wide mix of metro and non-metro cities, including Pune, Hyderabad, Chennai, Kolkata, Jaipur, Lucknow, Kanpur, Chandigarh, Ahmedabad, Meerut, Mysore, Panipat, Kochi, Amritsar, Mangalore and Vizag.
A key pillar of the initiative is its growing supply ecosystem. The company said the expansion will enable more than 16,000 farmers to directly connect with customers through sellers on the platform, using Amazon’s technology and logistics backbone to deliver fresh produce efficiently.
Explaining the momentum, Amazon India VP everyday essentials Harsh Goyal said, “Customers continue to enjoy Amazon Now, appreciating our delivery speed, value and selection, especially the quality of fresh produce sourced directly from farmers. Encouraged by this success, we have further accelerated our expansion plans and will scale Amazon Now to 100 cities, fuelled by a network of more than 1,000 micro-fulfilment centres.”
He added that the platform is designed to offer unmatched convenience, with thousands of essentials delivered in minutes, over a million items available for same-day delivery, and millions more the next day through Amazon’s wider marketplace.
At the core of Amazon Now is a network of compact, tech-enabled micro-fulfilment centres strategically located close to customer neighbourhoods. These facilities use advanced inventory systems to optimise product placement based on hyperlocal demand, enabling faster and more efficient deliveries.
With scale, speed and supply chain integration coming together, Amazon’s latest push underscores its ambition to become a dominant player in India’s quick commerce space while reshaping how everyday essentials reach consumers.
