Varun Beverages Limited has informed the Exchange about Investor Presentation
April 27, 2026
To,
National Stock Exchange of India Ltd. Exchange Plaza, Block G, C/1, Bandra Kurla Complex, Bandra (E), Mumbai – 400 051 Email: cmlist@nse.co.in Symbol: VBL
BSE Limited Phiroze Jeejeebhoy Towers Dalal Street, Mumbai – 400 001 Email: corp.relations@bseindia.com Security Code: 540180
Sub: Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015: Presentation on Unaudited Financial Results of the Company for the Quarter ended March 31, 2026
Dear Sir/Madam,
Pursuant to the provisions of Regulation 30 of the SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015, please find attached herewith a copy of the Presentation on
Unaudited Financial Results of the Company for the Quarter ended March 31, 2026.
The same is also being uploaded on website of the Company at www.varunbeverages.com.
You are requested to take the above on record.
Yours faithfully, For Varun Beverages Limited
Ravi Batra Chief Risk Officer & Group Company Secretary
Encl.: As above
April 27, 2026
Varun Beverages Limited
Q1 CY2026 Results Presentation
Disclaimer
This communication contains certain forward-looking statements relating to the business, financial performance,
strategy and results of Varun Beverages Limited (“VBL” or the “Company”) and/ or the industry in which it operates.
Such forward-looking statements involve a number of risks, uncertainties and assumptions which could cause actual
results or events to differ materially from those expressed or implied by the forward-looking statements. These
include, among other factors, changes in economic, political, regulatory, business or other market conditions.
Neither the Company nor its affiliates or advisors or representatives nor any of its or their parent or subsidiary
undertakings or any such person’s officers or employees guarantees that the assumptions underlying such forward-
looking statements are free from errors nor does either accept any responsibility for the future accuracy of the
forward-looking statements contained
in this presentation or the actual occurrence of the forecasted
developments. The Company assumes no responsibility to publicly amend, modify or revise any forward-looking
statements, on the basis of any subsequent developments, information or events, or otherwise. Given these
uncertainties and other factors, viewers of this communication are cautioned not to place undue reliance on these
forward-looking statements.
2
Table of Contents
Company Overview
Chairman’s Message
Q1 CY2026 Results Overview
Performance Highlights
Sustainability Initiatives
3
Company Snapshot
Key player in the global beverage industry and the second largest franchisee of PepsiCo in the world (outside US) with franchise operations spanning across 10 countries and with distribution rights in additional 4 countries.
Total Sales Volumes (mn Cases*)
2020-2025: Sales Volume CAGR: ~23.3%
1,213
1,124
374
303
913
176
802
149
653
737
821
839
569
115
454
425
88
337
2020
2021
2022
2023
2024
2025
India
International
Note: *A unit case is equal to 5.678 liters of beverage divided in 24 bottles of ~ 237 ml each
363
103
260
Q1 CY2026
4
Note: Map not to scale
4
Complete Brand Portfolio
Brands licensed by PepsiCo:
Own Brands^:
Carbonated Soft Drinks
Club Soda
Carbonated Soft Drinks
Fruit Pulp / Juice Based Drinks
Mixers
Energy Drink
Energy Drink
Sports Drink
Carbonated Juice Based Drinks
Ice Tea
Packaged Water
Packaged Water
Snacks#
Dairy Based Beverages*
# Manufacturing & Distribution of PepsiCo’s snack foods in Morocco and Zimbabwe and distribution in Zambia; Co-manufacturing of Kurkure Puffcorn in India. ^ Manufacturing & Distribution of own brands is restricted in select territories. * “CreamBell” trademark has been licensed to be used by VBL for ambient temperature value added dairy based beverages.
5
Symbiotic Relationship with PepsiCo
Demand Delivery
Demand Creation
• Production Facilities
• Sales & Distribution –
GTM & Logistics
• In-outlet Management –
Visi-Coolers
• Consumer Push
Management (BTL) - Market Share Gains
34+
Years of Association (agreement in India valid till April, 2039)
90%+
of PepsiCo India Sales Volume
• Trademarks
• Formulation through
Concentrate
• Product & Packaging innovation through investment in R&D
• Consumer Pull
Management (ATL) - Brand Development
6
Key Player in the Beverage Industry – Business Model
I
N A H C E U L A V S S O R C A N O I T U C E X E D N E - O T - D N E
- L B V
MANUFACTURING
Concentrate (PepsiCo)
Other Raw Materials
Bottling
▪ 53 state-of-the-art production facilities
▪ 38 in India & 15 in International territories
SOLID INRASTRUCTURE
DISTRIBUTION & WAREHOUSING
CUSTOMER MANAGEMENT
▪ Robust distribution network with strong distribution infra of vehicles, including EVs ▪ Wide network of owned vehicles
ROBUST SUPPLY CHAIN
▪ Wide presence in retail outlets through visi-coolers ▪ VBL - local level promotion and in-store activation ▪ PepsiCo - brand development & consumer marketing
DEMAND DELIVERY
IN-MARKET EXECUTION
▪ Experienced sales team ▪ Responsible for category value/volume growth ▪ Path created for reaching out to every 5th person in the world
MARKET SHARE GAINS
COST EFFICIENCIES
▪ Production optimization ▪ Backward integration (3 exclusive + 19 integrated plants) ▪ Innovation (packaging etc.)
MARGIN EXPANSION
CASH MANAGEMENT
▪ Working capital efficiencies ▪ Disciplined capex investment ▪ Territory acquisition
ROE EXPANSION / FUTURE GROWTH 7
7
Chairman’s Message
Commenting on the performance, Mr. Ravi Jaipuria, Chairman – Varun Beverages Limited said:
“We are pleased to report a strong performance in the first quarter of CY2026, supported by healthy demand, disciplined execution, and continued progress across our markets. Consolidated sales volumes grew by 16.3% in Q1 CY2026, driven by volume growth of 14.4% in India and 21.4% in international territories. Revenue increased by 18.1% YoY to Rs. 65,742 million, and EBITDA improved by 21.0% YoY to Rs. 15,289 million.
In India, demand remained encouraging during the quarter, supported by our wide distribution reach, strengthened execution, and continued investments in manufacturing capacity and chilling infrastructure. We undertook targeted initiatives to drive volumes and strengthen our domestic portfolio, including pack upsizing, selective price-point launches in identified markets to onboard new consumers, and new launches in the energy and juice based drink segments. The facilities commissioned over the last year have stabilized well and are expected to support growth and enhance operating efficiencies going forward.
Our international business continued to make steady progress during the quarter. We consummated the acquisition of Twizza in South Africa through BevCo, strengthening our manufacturing footprint and route-to- market capabilities in Africa’s largest soft drinks market. The acquisition is expected to generate meaningful operational and commercial synergies over time. We have also entered into an agreement to acquire Crickley Dairy through BevCo, which will further strengthen our presence in South Africa, subject to regulatory and other approvals. Across Africa, we continue to build scale in snacks and deepen our presence in high-potential markets, in line with our strategy of broadening the portfolio and strengthening consumer relevance.
In accordance with our dividend policy, the Board of Directors has approved an interim dividend of 25% of face value, i.e., Rs. 0.50 per share, resulting in a total cash outflow of approximately Rs. 1,691 million.
Looking ahead, we remain confident in the long-term opportunity across our markets, supported by favorable demographics, rising incomes, growing urbanization, and increasing beverage consumption. With adequate capacities, a diversified portfolio, and a strong distribution network, we are well-positioned to deliver sustained 8 growth and create long-term value for all our stakeholders.”
Key Developments
1. Acquisition of 100% stake in Twizza (Pty) Limited, South Africa:
▪ Consummated the acquisition of Twizza (Pty) Limited, South Africa (“Twizza”) through our subsidiary, The Beverages Company Proprietary Limited. ("BevCo") at an Enterprise value (post due diligence adjustments) of ZAR 2,053 million. Consequently, Twizza has become a step-down subsidiary of our Company with effect from 18 March 2026.
▪ Twizza with its well-established manufacturing footprint and strong route-to-market capabilities, presents a significant opportunity to enhance our presence in Africa’s largest soft drinks market. This acquisition is expected to generate meaningful operational and commercial synergies, while advancing our long-term growth strategy in the African region.
2. Agreement for acquisition of 100% stake in Crickley Dairy Proprietary Limited, South Africa:
▪ On 17 March 2025, VBL, through its subsidiary, The Beverages Company Proprietary Limited entered into a share purchase agreement with Crickley Dairy Proprietary Limited for the purchase of 100% share capital, subject to regulatory and other approvals (if any) including but not limited to Competition Commissions of South Africa at an Enterprise value of ~ ZAR 238 million (including working capital).
3. Dividend:
▪ Final dividend of Rs. 0.50 (Fifty paise only) per equity share of the face value of Rs. 2 each for the year ended 31 December 2025, was approved by the shareholders at the Annual General Meeting held on 01 April 2026 and the same has been duly paid.
▪ In line with the guidelines of Company’s dividend policy, the Board of Director’s have approved an interim dividend @
25% of face value i.e. Rs. 0.50 per share. Total cash outflow would be ~Rs. 1,691 million.
9
Results Overview
Revenue
8.4%
2,00,077
2,16,854
n m
. s R
18.1%
55,669
65,742
EBITDA
7.2%
47,111
50,494
21.0%
15,289
23.5%
23.3%
23.3%
n m
. s R
12,640
22.7%
n m
. s R
20.1%
7,314
8,787
PAT
16.2%
30,620
26,343
Q1 2025 Q1 2026
CY 2024
CY 2025
Q1 2025 Q1 2026
CY 2024
CY 2025
Q1 2025 Q1 2026
CY 2024
CY 2025
Quarterly Sales Volumes (Category-wise mn unit cases)
402 mn
-3.0%
390 mn
2.4%
267 mn
274 mn
10.2%
215 mn
237 mn
16.3%
363 mn
312 mn
400 300 200 100 -
Q2 2024
Q2 2025
Q3 2024
Q3 2025
Q4 2024
Q4 2025
Q1 2025
Q1 2026
Period
Q2 2024
Q2 2025
Q3 2024
Q3 2025
Q4 2024
Q4 2025
Q1 2025
Q1 2026
CSD
NCB
Water
307
76%
291
75%
200
75%
202
74%
158
73%
170
72%
234
75%
268
74%
32
63
8%
16%
28
71
7%
18%
11
56
4%
21%
12
60
4%
22%
8
49
4%
23%
10
57
4%
24%
22
56
7%
18%
27
68
7%
19%
10
Consolidated Profit & Loss Statement
Particulars (Rs. million)
1. Income
(a) Revenue from operations
(b) Excise Duty
Net Revenues (c) Other income
2. Expenses
(a) Cost of materials consumed
(b) Purchase of stock-in-trade
(c) Changes in inventories of FG, WIP and stock-in-trade
(d) Employee benefits expense (e) Finance costs
(f) Depreciation and amortisation expense
(g) Other expenses
Total expenses
EBITDA
3. Profit before share of loss of associates and joint ventures (1-2)
4. Share of loss of associates and joint ventures 5. Profit before tax (3+4)
6. Tax expense
7. Net profit after tax (5-6)
Q1 2026
Q1 2025
YoY(%)
67,215.37
56,800.26
1,473.47
1,130.91
65,741.90 435.28
55,669.35 280.58
31,522.02
26,710.71
652.11
711.84
(2,717.68)
(2,131.92)
6,192.73 485.25
3,567.94
5,115.02 411.24
2,725.13
14,803.45
12,624.06
54,505.82
46,166.08
15,289.27
12,639.64
11,671.36
9,783.85
(39.47) 11,631.89
(5.77) 9,778.08
2,844.76
2,464.50
8,787.13
7,313.58
18.3%
30.3%
18.1% 55.1%
18.0%
-8.4%
-27.5%
21.1% 18.0%
30.9%
17.3%
18.1%
21.0%
19.3%
-584.1% 19.0%
15.4%
20.1%
11
Discussion on Financial & Operational Performance
Particulars
in Rs. Million
Consolidated
Standalone
Q1 CY26
Q1 CY25
Growth
Q1 CY26
Q1 CY25
Growth
Sales volumes (mn unit cases*)
363.4
312.4
16.3%
260.3
227.5
Revenue – Beverage sales
63,258.6
53,552.8
18.1%
43,768.1
38,825.0
14.4%
12.7%
Revenue – Non beverage sales
2,483.3
2,116.6
17.3%
1,237.4
1,700.2
-27.2%
Total Revenue
65,741.9
55,669.4
18.1%
45,005.5
40,525.3
11.1%
Realization per case – Beverages Note: *A unit case is equal to 5.678 liters of beverage divided in 24 bottles of ~ 237 ml each
174.1
171.4
1.6%
168.1
170.6
-1.5%
Sales Volumes / Net Revenues
• Consolidated sales volume grew by 16.3% to 363.4 million cases in Q1 CY2026 from 312.4 million cases in Q1 CY2025
driven by strong volume growth of 14.4% in India and 21.4% in international territories.
• Net Revenue from operations grew by 18.1% in Q1 CY2026 to Rs. 65,741.9 million from Rs. 55,669.4 million in Q1 CY2025.
• Realization per case improved by 1.6% at the consolidated level, supported by improved realizations in international
territories primarily due to favorable currency movement.
• Realization per case in India declined by 1.5%, primarily due to volume growth initiatives such as upsizing of packs and
selective price-point launches in targeted markets to onboard new consumers.
• Revenue – Non beverage sales at Consolidated level primarily include revenue from snack foods, dairy items, preforms, closures and scrap sales. Decline of Revenue – Non beverage sales in Standalone financials is primarily because of reduced sale of packaging materials.
12
Discussion on Financial & Operational Performance
Gross Margins
• Gross margins improved by 62 bps at 55.2% in Q1 CY2026, supported by early stocking of key raw materials despite the
inflationary raw material environment and higher mix of low sugar / no sugar products.
•
In Q1 CY2026, mix of Low sugar / No sugar products has increased to ~ 63% of our consolidated sales volumes.
EBTIDA
• EBITDA increased by 21.0% to Rs. 15,289.3 million in Q1 CY2026 and EBITDA margins improved by 55 bps to 23.3% in Q1
CY2026.
•
In India, EBITDA margins improved by 112 bps driven by operational efficiencies from robust volume growth and improved gross margins.
PAT
• PAT increased by 20.1% to Rs. 8,787.1 million in Q1 CY2026 from Rs. 7,313.6 million in Q1 CY2025 driven by strong volume
growth in India and International territories.
• Depreciation increased by 30.9% on account of commissioning of new plants of last year (Buxar, Prayagraj, Damtal and
Meghalaya) which were not present in the base quarter.
• Finance cost increased by 18.0% on account of acquisition of Twizza in South Africa in the current quarter. The income
on surplus cash in India is accounted as other income.
13
Performance Highlights (CY2020 – CY2025)
200
217
160
132
REVENUE CAGR (2020-25) – 27.4%
88
65
n b
. s R
2020
2021
2022
2023
2024
2025
PAT CAGR (2020-25) – 53.7%
40.00
30.00
20.00
n b 10.00 . s R -
5.5%
4
11.8%
8.5%
7
16
PAT
13.1%
PAT Margins 14.1%
13.2%
26
31
21
15.0%
10.0%
5.0%
0.0%
EBITDA CAGR (2020-25) – 33.3%
EBITDA
EBITDA Margins (%)
60.00
50.00
40.00
30.00
20.00 n b 10.00 . s - R
18.6%
18.8%
21.2%
22.5%
23.5%
23.3%
12
17
28
36
47
50
2020
2021
2022
2023
2024
2025
Net Worth
Net D/E
197
167
NET WORTH CAGR (2020-25) – 40.6% 250.00
200.00
150.00
100.00 n b 50.00 . s R -
42
0.7
52
0.7
71
0.7
36
0.8
0.0
0.0
30%
25%
20%
15%
10%
5%
0%
5.0
4.0
3.0
2.0
1.0
0.0
2020
2021
2022
2023
2024
2025
2020
2021
2022
2023
2024
2025
14
SUSTAINABILITY – Being Water Positive (CDP water rating: A-)
Increase ground water level
2x WRR
Reduce water usage (WUR)
Water consumed Per liter of beverage produced
-21%
till 2025
300+ Water bodies (ponds & check dams) maintained
* Steady state WUR was 1.54 times in 2023 and 1.50 times in 2024, the differential is on account of stabilization of 2 new greenfield plants in 2023 and 3 new greenfield plants in 2024.
Using only half of recharged water for manufacturing
1.89
1.70
1.57* 1.56*
1.50
1.40
2021
2022
2023
2024
2025
2030 Target
150+
Process Improvements
15
SUSTAINABILITY – Reducing Carbon Footprint & Circular Economy
CDP Climate rating: A-
CDP Supplier Engagement Assessment rating A
Increase Renewable Energy
30% by 2030
Solar (Rooftop + Captive Power Solution) & Windmill RE Mix % & kWh million units
79 (16%)
58 (13%)
21 (6%)
18 (7%)
108 (21%)
Increase Plastic Waste Recycle
100%
Ahead of EPR Regulations
70%
80%
86%
88%
100%
2021
2022
2023
2024
2025
2021
2022
2023
2024
2025
POSITIVE CLIMATE ACTIONS
2,000+ EV in trade for last mile
500K+ Plantations (since 2020)
Efficient Visi Coolers – R290 (all new coolers starting 2023)
Net Zero
by 2050
Pepsi Zero Sugar & Sting energy come in rPET packaging
~22,000 MT used in 2025
50% rPET mix in packaging by 2030
INDORAMA JV
16
rPET PACKAGING
Conference Call Details
Varun Beverages Limited Q1 CY2026 Earnings Conference Call
Time
• Monday, April 27, 2026 at 2:30 PM IST
Conference dial-in Primary number
• +91 22 6280 1141 / +91 22 7115 8042
International Toll Free Number
• Hong Kong: 800 964 448
• Singapore: 800 101 2045
• UK: 0 808 101 1573
• USA: 1 866 746 2133
17
About Us
Varun Beverages Limited (“VBL” or the “Company”) is a key player in beverage industry and one of the largest franchisee of PepsiCo in the world (outside USA). The Company produces and distributes a wide range of carbonated soft drinks (CSDs), as well as a large selection of non-carbonated beverages (NCBs), including packaged drinking water sold under trademarks owned by PepsiCo. PepsiCo CSD brands produced and sold by VBL include Pepsi, Pepsi Zero, Mountain Dew, Sting, Adrenaline Rush, Seven-Up, Mirinda, Nimbooz Jeera Soda and Evervess. PepsiCo NCB brands produced and sold by the Company include Slice, Tropicana Juices (100% and Delight), Seven-Up Nimbooz, Gatorade as well as packaged drinking water under the brand Aquafina.
VBL has been associated with PepsiCo since the 1990s and have over three decades consolidated its business association with PepsiCo, increasing the number of licensed territories and sub-territories covered by the Company, producing and distributing a wider range of PepsiCo beverages, introducing various SKUs in the portfolio, and expanding the distribution network. As on date, VBL has been granted franchises for various PepsiCo products across 26 States and 6 Union Territories in India. India is the largest market and contributed ~67% of revenues from operations (net) in Fiscal 2025. VBL has also been granted the franchise for various PepsiCo products for the territories of Nepal, Sri Lanka, Morocco, Zambia, Zimbabwe, South Africa, Lesotho, Eswatini & DRC and distribution rights for Namibia, Botswana, Mozambique and Madagascar.
For more information about us, please visit www.varunbeverages.com or contact:
Raj Gandhi / Deepak Dabas / Manjit Singh Chadha Varun Beverages Ltd Tel: +91 124 4643100 / +91 9871100000 / +91 9810779979 E-mail: raj.gandhi@rjcorp.in deepak.dabas@rjcorp.in manjit.chadha@rjcorp.in
Anoop Poojari / Mitesh Jain CDR India Tel: +91 9833090434 / +91 9619444691 E-mail: anoop@cdr-india.com mitesh@cdr-india.com
18
Thank You!