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GM Breweries reports slight dip in net profit despite revenue growth

Oct 10, 2023

By: BlinkX Research Team

GM Breweries, a player from the alcoholic beverages industry, has released its financial results for the year, revealing a mixed performance.

Key Financial Highlights:

Net Profit: The company's net profit for the period witnessed a marginal decline, down by 1.5% to reach ₹22.4 crores as compared to ₹22.7 crores in the previous year (YoY).

Revenue Growth: GM Breweries reported a healthy growth in its revenue, which surged by 6.8% to stand at ₹151.5 crores, up from ₹142 crores in the corresponding period last year (YoY). This uptick in revenue suggests increased sales and potentially higher market demand.

EBITDA: However, the company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) witnessed a decline, slipping by 3.8% to ₹29.7 crores from ₹31 crores in the previous year (YoY). This indicates increased operating costs or reduced operational efficiency during the period.

Margin: GM Breweries' margin, represented by EBITDA margin, also saw a decrease, standing at 19.6% compared to 21.7% in the previous year (YoY). This suggests that the company faced challenges in maintaining profitability in the face of rising costs or competitive pressures.

These financial results reveal a complex picture for GM Breweries. While the company managed to achieve revenue growth, it also faced challenges that impacted its bottom line and operational efficiency, leading to a slight dip in net profit and margin.