Liquor Stocks Record New Highs Amidst Diwali and Earnings Results: Radico, Allied Blenders Hit Record New Highs

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Last Updated: 23rd October 2025 - 09:38 am

1 min read

Shares of Indian liquor companies surged Monday, with Radico Khaitan and Allied Blenders & Distillers (ABDL) hitting fresh highs as investors reacted positively to upbeat growth forecasts. Radico’s stock climbed around 5% intraday to ₹3,276.80 and has jumped 13% over the past four trading days. ABDL gained about 6 %, trading near ₹583.45, climbing roughly 15% so far in October. 

Liquor Stocks Shine

Radico Khaitan, one of India’s largest producers of branded Indian-Made Foreign Liquor (IMFL), posted its strongest quarter ever in Q1: volume, revenue and profits all surged. IMFL volumes rose an impressive 37.5% year-on-year, driven by strong demand for its premium lineup. The company expects volume growth above 20% in FY26, aided by a stable raw-material environment, favourable product mix and long-term structural tailwinds. 

Meanwhile, Allied Blenders & Distilleries is executing a strategic shift toward premiumisation, with its “Prestige & Above” segment’s share rising from 25% in FY18 to 40% presently, and projected to reach 50 % by FY28. As margins expand through premium-segment growth and export deals (including a UK-FTA advantage), experts see EBITDA margins improving from ~12% in FY25 to ~15% in FY28 and return on capital employed climbing to ~26 % from ~18%. Over FY25-28, revenue is forecast to grow at a compound annual growth rate (CAGR) of ~14%, while profit after tax (PAT) could rise at ~36%. 

In short, the combination of robust volume momentum, premiumisation strategy, and margin expansion expectations has put liquor stocks firmly in favour among investors ahead of the festive season.
 

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