Sula vineyards' revenue dips in Q2 and H1 FY26

Sula Vineyards announced its Q2 & H1 FY26 results, with revenue from operations for Q2 FY26 at INR 139.7 Cr, a 1.1% decrease year-over-year (YoY), and gross profit at INR 90.3 Cr, down 13.5% YoY. Operating EBITDA for the quarter stood at INR 25.5 Cr, a 24.3% YoY decline. For H1 FY26, revenue from operations was INR 258.0 Cr, a 4.3% YoY decrease, and gross profit was INR 171.4 Cr, down 15.1% YoY.

Own Brands revenue for Q2 FY26 was INR 124.1 Cr, with volume up 1.5% YoY but value down 2.5% YoY, primarily impacted by a temporary route-to-market disruption in Telangana. Excluding Telangana, Own Brands revenue showed mid-single digit YoY growth. Wine Tourism reported a record Q2 with revenue at INR 13.2 Cr, an increase of 17.7% YoY, driven by higher footfalls and occupancy.

The company is expanding with a third resort, The Haven by Sula, adding 30 keys by September 2025, and plans for an additional 20 keys by March 2026. Sula also aims to increase cellar capacity to 19.2 Mn Liters by end of FY26 and is pursuing strategic investments and acquisitions in the Indian AlcoBev Industry.