GM Breweries posted a 4% year-on-year increase in net profit at ₹26 crore for Q1 FY26. Despite healthy growth in both revenue and earnings, the company experienced a fall in its stock price after revealing a contraction in operating margins, impacting investor sentiment.
For the April to June 2025 quarter, GM Breweries registered a net profit of ₹25.86 crore, rising from ₹24.94 crore in Q1 FY25. Sales also increased from ₹152.40 crore to ₹162.86 crore, showing a growth of 6.8% year-on-year.
However, EBITDA declined slightly to ₹30.9 crore compared to ₹31.5 crore in the previous year’s quarter. This resulted in EBITDA margin narrowing to 18.98% from 20.67%, highlighting higher costs or operational pressures.
The company’s top-line growth of 6.8% reflects a steady demand environment. However, a dip in margin indicates increased input costs or rising operational expenses.
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On July 15, 2025, GM Breweries share price opened at ₹760.00 on NSE, above the previous close of ₹757.55. During the day, it surged to ₹765.00 and dipped to ₹732.40. The stock is trading at ₹733.80 as of 2:55 PM. The stock registered a significant decline of 3.14%.
Over the past week, it has declined by 1.70%, over the past month, it has moved up by 0.19%, and over the past 3 months, it has moved up by 13.25%.
GM Breweries reported higher revenue and profit for Q1 FY26, displaying resilience in top-line performance. However, margin contraction raised caution, contributing to a nearly 3% fall in stock price. While fundamentals remain intact, operational efficiency will remain a key metric for future quarters.
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Published on: Jul 15, 2025, 3:38 PM IST
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