Globus Spirits Q4 Results Image Credit source: ai generated
Investors in the stock market are always looking for companies which present excellent quarterly results and give good returns. If you also keep an eye on the market movements, then you should definitely pay attention to the latest figures of Globus Spirits, a giant in the liquor and ethanol sector. This company has performed in such a way in the March quarter (Q4), which has attracted the attention of market experts. The company's profit has increased not just one or two times, but four times. Along with this historic jump in profits, the company has also given a wonderful gift of dividend to its investors.
320% jump in profits despite declining sales
Generally, the profit of any company depends on its sales. But in the case of Globus Spirits, the story is a little different and interesting. The total sales (revenue) of the company in the same quarter last year was ₹ 875 crore, which has fallen by 2.7% to ₹ 851 crore this time. That means the sales in the market were a little soft. Despite this, the net profit of the company has jumped from ₹ 5 crore to ₹ 21 crore. This is a direct increase of 320% in profits.
Now the question arises that how did the profit increase despite the decline in sales? The simple answer is excellent operational management and cost reduction. The company exercised great control over its expenses and made necessary improvements in its product mix. As a result, the company's EBITDA increased by 74% to ₹ 66.5 crore, which was only ₹ 38.3 crore last year. At the same time, EBITDA margin has also improved from 4.4% to an excellent level of 7.8%.
Declaration of dividend of Rs 6.53 per share
When any company earns good profits, its shareholders directly benefit from it. Globus Spirits has also taken full care of its investors. The company's board has recommended a huge dividend of 65.3% to its shareholders for the financial year 2026 (FY26). This means that investors will get a direct profit of ₹ 6.53 on every share. However, the final approval of the shareholders is yet to be taken for this.
How is the stock performing in the stock market?
Even before the results came, the market was expecting better performance from this company. This is the reason why Globus Spirits shares closed at ₹ 1,129 on the National Stock Exchange (NSE) with a gain of about 2%. If we look at the data of last one month, this stock has not disappointed the investors. Within just 30 days, this stock has given an excellent return of 22.68%, which shows its strong market position.
What is the main business of the company?
If you want to understand the business model of this company, then let us tell you that Globus Spirits mainly works in the field of alcohol and ethanol manufacturing. This company manufactures products like Indian Made Indian Liquor (IMIL) and Indian Made Foreign Liquor (IMFL). Apart from this, the company also produces bulk alcohol and ethanol. Its products are not limited only to general consumers, but are also in huge supply in the industrial market.
Disclaimer: This article is for information only and should not be considered as investment advice in any way. TV9 Bharatvarsha advises its readers and viewers to consult their financial advisors before taking any money related decisions.
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