Any current/future new fundraising through debt or equity?

No explicit mention of any new fundraising through debt or equity during the call. Net debt at the end of September 2025 was around INR 350 crores compared to INR 315 crores a year ago. Debt-to-EBITDA ratio remains comfortable at around 2.5x trailing 12 months EBITDA. Interest cost higher by 13% mainly due to increased average debt levels. Major capex investments are largely behind; ongoing capex expected to taper to INR 30-35 crores annually. Improved operating profitability and lower capex intensity in H2 expected to contain any further debt increase. No statements indicating plans for raisi

Any current/future capex/capital investment/strategic investment?

Current and near-term capex is estimated at INR 30-35 crore annually for FY '26 and FY '27, significantly lower than previous years. Most major capacity expansion capex has already been completed, with sufficient capacity for the next 2-3 years. No plans for additional resort expansions in FY '27; recent expansions include 50% increase in rooms by end of FY '26 through adding 50 keys. Focus on asset-light models for new resorts, e.g., The Haven by Sula, to maintain financial discipline. Strategic investments planned in battery energy storage systems to increase capacity beyond the current ~2 M

Future growth expectations in sales/revenue/volumes?

Q2 showed positive signs with stable revenue at INR 140 crores and 1.5% volume growth for Own Brands. Outside Telangana, Own Brands revenue grew mid-single digits in Q2. Eight states including Haryana, Uttar Pradesh, and Rajasthan reported strong double-digit growth. CSD segment revenues more than doubled year-on-year in Q2, showing expanded penetration. The Source brand range continues robust double-digit growth and is expected to double its share in Own Brands revenue within a couple of years. Maharashtra market showed signs of recovery in Q2, expected to bode well for H2 and coming years. W

Future growth expectations in earnings/operating earnings/profits/EPS?

Sula Vineyards expects a year-on-year improvement of 250 basis points in operating margins in H2 FY '26, driven by higher WIPS accrual, sustained wine tourism growth, and phasing out of high-cost inventory. Net profit margins have been subdued recently due to operating leverage challenges but are expected to normalize, with sustainable Return on Equity (ROE) around 17-18%. Revenue guidance is not explicitly provided; however, expanding geographic reach and distribution indicate significant growth potential outside core states. The Wine Tourism segment is growing robustly and is expected

Sula Vineyards LtdQ3 FY26Beverages

Sula Vineyards Ltd Q3 FY26 Earnings Call Analysis

Revenue, margin, capex, fundraise and order book outlook from management commentary.

Price: ₹150P/E: 53.3Market Cap: ₹1.4K CrSector: Beverages

Management growth scorecard

Revenue

Category 3

Margin

Category 1

Fundraise

N/A

Order

N/A

Capex

Yes

2 of 3 growth signals are positive.

Full analysis

Revenue guidance

Category 3

→Q2 showed positive signs with stable revenue at INR 140 crores and 1.5% volume growth for Own Brands.
→Outside Telangana, Own Brands revenue grew mid-single digits in Q2.
→Eight states including Haryana, Uttar Pradesh, and Rajasthan reported strong double-digit growth.
→CSD segment revenues more than doubled year-on-year in Q2, showing expanded penetration.
→The Source brand range continues robust double-digit growth and is expected to double its share in Own Brands revenue within a couple of years.
→Maharashtra market showed signs of recovery in Q2, expected to bode well for H2 and coming years.
→Wine Tourism business grew 15% in H1; new resorts and improved connectivity expected to further bolster growth.
→Management refrains from specific revenue guidance but highlights immense potential due to expanded distribution and market growth.
→Recovery in Telangana market expected in H2 post license auction, removing previous trade disruptions.

Margin guidance

Category 1

→Sula Vineyards expects a year-on-year improvement of 250 basis points in operating margins in H2 FY '26, driven by higher WIPS accrual, sustained wine tourism growth, and phasing out of high-cost inventory.
→Net profit margins have been subdued recently due to operating leverage challenges but are expected to normalize, with sustainable Return on Equity (ROE) around 17-18%.
→Revenue guidance is not explicitly provided; however, expanding geographic reach and distribution indicate significant growth potential outside core states.
→The Wine Tourism segment is growing robustly and is expected to continue contributing positively to operating profits.
→Increased market share in Maharashtra and other markets, coupled with recovery in Telangana, supports earnings growth.
→Capex is tapering down to INR 30-35 crores annually, which may improve profitability.
→Imported brands' profitability may improve due to lowered import duties, although own brands will remain more profitable in near term.

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Fundraise plans

→No explicit mention of any new fundraising through debt or equity during the call.
→Net debt at the end of September 2025 was around INR 350 crores compared to INR 315 crores a year ago.
→Debt-to-EBITDA ratio remains comfortable at around 2.5x trailing 12 months EBITDA.
→Interest cost higher by 13% mainly due to increased average debt levels.
→Major capex investments are largely behind; ongoing capex expected to taper to INR 30-35 crores annually.
→Improved operating profitability and lower capex intensity in H2 expected to contain any further debt increase.
→No statements indicating plans for raising equity or additional debt in near future.

Order book

The transcript provided does not mention any details regarding current or expected orderbook or pending orders for Sula Vineyards Limited. There is no reference to pending sales orders, contracts, or a backlog of orders in the Q2 FY26 earnings conference call transcript or accompanying documents. The focus is primarily on financial performance, market conditions, business segments such as Wine Tourism, own and imported wine brands, and operational updates.

Capex plans

Yes

→Current and near-term capex is estimated at INR 30-35 crore annually for FY '26 and FY '27, significantly lower than previous years.
→Most major capacity expansion capex has already been completed, with sufficient capacity for the next 2-3 years.
→No plans for additional resort expansions in FY '27; recent expansions include 50% increase in rooms by end of FY '26 through adding 50 keys.
→Focus on asset-light models for new resorts, e.g., The Haven by Sula, to maintain financial discipline.
→Strategic investments planned in battery energy storage systems to increase capacity beyond the current ~2 MW, aiding sustainability efforts.
→Limited further solar installation due to roof space constraints; emphasis is shifting to boosting battery storage capacity.
→They continue to explore strategic partnerships and expand distribution but avoid committing to specific future expansion capex beyond the near term.

How does Sula Vineyards Ltd rank vs peers in Beverages?

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