Associated Alcohols sees H1 revenue rise, Q2 profit dip amid strategic shift

Associated Alcohols & Breweries Limited has announced its unaudited financial results for the quarter and half-year ended September 30, 2025. For H1 FY26, the company reported gross revenues of ₹5,271 million, a 3% year-on-year increase, with profit after tax rising 14% to ₹377 million. Q2 FY26 saw stable net revenues from operations at ₹2,538 million, though profit after tax decreased by 9% to ₹140 million due to raw material mix and lower by-product revenue.

The company continues its strategic shift towards premium products, exemplified by the launch of "Nicobar" gin in Q3 FY24 and "Hillfort" blended malt whiskey in Q1 FY25, with a tequila launch planned for H2 FY26. IMFL Proprietary volumes grew 37% year-on-year in Q2 FY26, driven by strong brand demand, particularly in new markets like Maharashtra and Uttar Pradesh. IMFL Licensed volumes, however, decreased 38% year-on-year due to a realignment of business patterns with Inbrew.

Associated Alcohols remains a key player in the Extra Neutral Alcohol (ENA) market, with its 130 KLPD Ethanol plant in Barwaha achieving 85% utilization. The recently commissioned 6,000 LPD malt plant is set to enhance proprietary brand offerings, including a premium Single Malt Whisky. The company’s strong balance sheet and minimal debt position support ongoing expansion and strategic initiatives to capture higher-value market segments.