United Breweries - Q1FY22 First Cut - ICICI Direct

(CMP: Rs. 1140; MCap: Rs. 38230 crore)

United Breweries' Q1FY22 numbers were lower than I-direct estimates on all fronts.

Q1FY22 Earnings Summary

- Net revenues grew 121% YoY to Rs. 1118 crore (I-direct estimate: Rs. 1331 crore). Volumes grew 115% YoY, however, below I-direct estimate of 150% growth, as market continued to remain challenging (June 2021 volumes were at half of June 2019)

- Absolute EBITDA came at Rs. 95 crore vs a loss of Rs. 96 crore in Q1FY21 (I-direct estimate: Rs. 197 crore). EBITDA margins at 8.5% was lower than I-direct estimate of 14.8%, mainly due to lower gross margins and lower operating leverage

- Subsequently, the company reported a PAT of Rs. 31 crore (vs loss of Rs. 114 crore in Q1FY21) and came below I-direct estimate of Rs. 106 crore, mainly due to weak operational performance

We will be coming out with a detailed report post the management conference call.

Shares of UNITED BREWERIES LTD. was last trading in BSE at Rs. 1420.05 as compared to the previous close of Rs. 1419.7. The total number of shares traded during the day was 21728 in over 1859 trades.

The stock hit an intraday high of Rs. 1450.3 and intraday low of 1419. The net turnover during the day was Rs. 31154655.

Source : Equity Bulls

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