United Breweries - Q4FY22 First Cut - ICICI Direct

(CMP: Rs. 1527; MCap: Rs. 40590 crore)

United Breweries' Q4FY22 numbers were above I-direct estimates on all fronts.

Q4FY22 Earnings Summary

- Net revenues grew 11% YoY to Rs. 1709 crore (I-direct estimate: Rs. 1589 crore). Volumes grew 7% YoY (I-direct estimate: 5% volume growth). Mixed growth was seen during the quarter as Jan was muted while March saw strong growth. North saw 26% growth, while West declined 11%. South saw 8% growth, while East was relatively flat at 2%

- Absolute EBITDA remained flattish at Rs. 262 crore (I-direct estimate: Rs. 175 crore). EBITDA margin at 15.3% was higher than I-direct estimate of 11%, mainly due to higher operating leverage and lower employee expense

- Subsequently, the company reported a PAT of Rs. 164 crore (vs adjusted PAT of Rs. 160 crore in Q4FY21) and came above I-direct estimate of Rs. 91 crore, as strong operational performance was further supported by higher other income, lower interest and depreciation expense. The Board of Directors have proposed a dividend of Rs. 10.5 per share

- The company has closed its operations at Patna plant (Non-alcoholic beverage) and has made the arrangement with a third party contractor

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

Shares of United Breweries Limited was last trading in BSE at Rs. 1534.90 as compared to the previous close of Rs. 1531.05. The total number of shares traded during the day was 14661 in over 1719 trades.

The stock hit an intraday high of Rs. 1599.85 and intraday low of 1514.10. The net turnover during the day was Rs. 22954855.00.

Source : Equity Bulls

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UnitedBreweries INE686F01025 UBL Q4FY22 FirstCut ICICIDirect