Varun Beverages rallies 42% off March low as Q1 profit jumps 20% and PepsiCo extends license to 2049
Varun Beverages has rebounded 42% from its March low on the back of a 20.1% YoY jump in Q1 net profit to Rs 878.7 cr and 18.1% revenue growth to Rs 6,574.2 cr. PepsiCo's bottling license extension to 2049, the South Africa Beverage Company buyout, and 0.5 mn outlet additions have prompted YES and Emkay to raise targets to Rs 615-620.
Varun Beverages stock rebounded 42% from March low on strong Q1 earnings, summer demand, South Africa acquisition of The Beverage Company, and PepsiCo extending India bottling license to 2049. Brokerages YES and Emkay raised targets to Rs 615-620.
Why this matters
Builds on the recent PepsiCo bottling extension to 2049, which already lifted shares 3% and removed exclusivity curbs, freeing Varun Beverages to pursue non-Pepsi ventures alongside its South Africa expansion.
Retail-company signals steady at 1,036 over the past 90 days.