🧭 At a Glance
Radico Khaitan, born as Rampur Distillery in 1943, is now a ₹35,000 Cr liquor legend. It’s behind 8PM Whisky, Magic Moments Vodka, and more. With 8 brands in the global “Millionaire’s Club” and 52% 1-year stock return, this isn’t your dad’s desi peg company anymore. But at a P/E of 101? Even premium whisky doesn’t burn that hot.
1️⃣ From CSD Contracts to Cocktail Culture
Initially a CSD supplier for the armed forces, Radico pivoted hard into branded IMFL in 1997. First came 8PM Whisky. Now it’s got:
🍸 Brand Portfolio:
- Whisky: 8PM, Royal Ranthambore, After Dark
- Vodka: Magic Moments (top-selling in India)
- Brandy: Morpheus
- Gin & Others: Verve, Rampur Indian Single Malt
And it exports to 102+ countries. Your Goan vacation bottle? It probably said Radico on it.
2️⃣ Market Domination
- Top 3 Indian IMFL player
- #1 exporter of spirits from India
- Largest malt distiller in India
- Dominates premium and value segments
But it’s also trying to “premiumize” fast — with products like Royal Ranthambore and Rampur Single Malt targeting HNIs and hipsters alike.
3️⃣ Financial Highball: Cheers to This Chart 🍾
Profit & Loss Snapshot (Standalone, ₹ Cr)
| FY | Revenue | Net Profit | OPM | EPS |
|---|---|---|---|---|
| FY21 | ₹2,374 | ₹271 | 17% | ₹20.26 |
| FY22 | ₹2,859 | ₹252 | 14% | ₹18.86 |
| FY23 | ₹3,133 | ₹204 | 11% | ₹15.29 |
| FY24 | ₹4,106 | ₹256 | 12% | ₹19.13 |
| FY25 | ₹4,851 | ₹345 | 14% | ₹25.80 |
- Sales up 2x in 5 years ✅
- Margins rebounding post-COVID impact ✅
- EPS CAGR (5Y): ~5%
- But wait… P/E = 101x. Did the market sip too much?
4️⃣ Quarter-on-Quarter Buzz
| Q4FY25 | Sales: ₹1,304 Cr | Net Profit: ₹91 Cr | EPS: ₹6.78 | OPM: 14% |
- OPM holding strong despite inflation
- Net profit up 59.7% YoY
- The company’s new capex is kicking in (₹1,767 Cr fixed assets now vs ₹821 Cr in FY22)
And yes, they just withdrew their ‘TRIKĀL’ brand after public backlash. Reputation management? ✅
5️⃣ Valuation: What’s in the Bottle?
| Metric | Value |
|---|---|
| CMP | ₹2,616 |
| P/E | 101x 🥵 |
| ROCE | 16.2% |
| ROE | 13.6% |
| Book Value | ₹201 |
| P/BV | 13x |
| Dividend Yield | 0.15% (payout: 16%) |
You’re paying like it’s Louis XIII, but getting Old Monk margins.
6️⃣ Balance Sheet Hangover?
| Year | Borrowings (₹ Cr) | Net Cash Flow (₹ Cr) |
|---|---|---|
| FY22 | ₹202 | -₹21 |
| FY23 | ₹754 | ₹22 |
| FY24 | ₹818 | -₹36 |
| FY25 | ₹750 | -₹46 |
Capex has nearly doubled. Net cash flow is negative. Debt is manageable, but inventory days are now 142 — down from a peak of 292, but still high for FMCG.
7️⃣ Shareholding Mixology
| Shareholder | Mar 2025 |
|---|---|
| Promoters | 40.23% (Stable) |
| FIIs | 16.95% (Falling) |
| DIIs | 26.77% (Rising) |
| Public | 16.04% (Sobered up) |
Retail has cut down. FIIs are losing interest. DIIs are still sipping cautiously.
8️⃣ KMP – The Bartenders Behind the Bar 🍹
| Name | Designation |
|---|---|
| Lalit Khaitan | Chairman & MD 🍾 |
| Abhishek Khaitan | CEO & Whole-Time Director 🥃 |
| Amar Sinha | COO |
| Sameer Maheshwari | CFO |
This is a Khaitan family-run show, with Lalit & Abhishek steering strategy for decades. Amar Sinha — the ex-United Spirits guy — has helped premiumise the brand mix.
🧮 Fair Value Range
- EPS (TTM): ₹25.80
- Growth Potential: 15% EPS CAGR next 2 years
- Justified P/E? 35–40x (top-end for strong FMCG liquor plays)
🎯 FV = ₹900 – ₹1,030
CMP is ₹2,616
You’re paying for FY2030 earnings today.
TL;DR 🥂
- Radico is a premium liquor legend. 8PM to Rampur Single Malt = full ladder.
- Sales, margins, and profit are growing again.
- But valuations are drunk. P/E 101 = way too spicy
- Capex is done. New brands are scaling.
- But will the stock sober up before fundamentals catch up?
For now, Radico’s valuation is less Magic Moments, more Magic Mushrooms.
Tags: Radico Khaitan Recap, IMFL Stocks India, 8PM Whisky, Magic Moments Vodka, Premium Alcohol Stocks, EduInvesting, FMCG Liquor, Khaitan Group, Rampur Single Malt, Royal Ranthambore, High P/E India Stocks
✍️ Written by Prashant | 📅 17 June 2025
