United Spirits Ltd’s fundamental analysis highlights key financial metrics including market capitalisation of ₹101,847.3 crore, PE ratio of 72.33, debt-to-equity ratio of 3.72, and return on equity of 21.46%. These figures reflect the company’s financial health and current market valuation.
Content:
- United Spirits Ltd Overview
- United Spirits Ltd Financial Results
- United Spirits Ltd Financial Analysis
- United Spirits Ltd Market Cap – Other Key Metrics
- United Spirits Ltd Stock Performance
- United Spirits Ltd Peer Comparison
- United Spirits Shareholding Pattern
- United Spirits History
- How To Invest In United Spirits Ltd Share?
- United Spirits Limited Fundamental Analysis – FAQs
United Spirits Ltd Overview
United Spirits Ltd is India’s largest alcoholic beverage company. It operates in the beverage alcohol sector, manufacturing, purchasing, and selling various spirits and allied products.
The company has a market capitalisation of ₹101,847.3 crore and is listed on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). Currently, the stock is trading 3.55% below its 52-week high and 43.46% above its 52-week low.
United Spirits Ltd Financial Results
United Spirits Ltd showed growth from FY 21 to FY 23. Sales increased from ₹9,712 crore in FY 21 to ₹11,321 crore in FY 23. Net profit rose from ₹811 crore to ₹1,408 crore. Operating Profit Margin (OPM) improved from 17% to 18%.
1. Revenue Trend: Sales increased from ₹9,712 crore in FY 21 to ₹10,612 crore in FY 22, and further to ₹11,321 crore in FY 23.
2. Equity and Liabilities: Interest expenses decreased from ₹88 crore in FY 21 to ₹76 crore in FY 23. Depreciation remained relatively stable, with ₹304 crore in FY 21 and ₹275 crore in FY 23.
3. Profitability: Operating Profit Margin (OPM) increased from 17% in FY 21 to 18% in FY 23. EBITDA rose from ₹1,644 crore in FY 21 to ₹2,226 crore in FY 23.
4. Earnings per Share (EPS): EPS improved from ₹11.68 in FY 21 to ₹19.83 in FY 23, indicating better profitability per share.
5. Return on Net Worth (RoNW): The rise in net profit from ₹811 crore in FY 21 to ₹1,408 crore in FY 23 suggests improved returns on shareholders’ equity.
6. Financial Position: The overall financial health improved with net profit rising from ₹811 crore in FY 21 to ₹1,408 crore in FY 23, and EPS increasing from ₹11.68 to ₹19.83 during the same period.
United Spirits Ltd Financial Analysis
| FY 23 | FY 22 | FY 21 | |
| Sales | 11,321 | 10,612 | 9,712 |
| Expenses | 9,320 | 9,195 | 8,104 |
| Operating Profit | 2,001 | 1,417 | 1,608 |
| OPM % | 18 | 13 | 17 |
| Other Income | 208 | 250 | -130 |
| EBITDA | 2,226 | 1,490 | 1,644 |
| Interest | 76 | 104 | 88 |
| Depreciation | 275 | 283 | 304 |
| Profit Before Tax | 1,858 | 1,280 | 1,087 |
| Tax % | 24 | 12 | 25 |
| Net Profit | 1,408 | 1,126 | 811 |
| EPSinsight-icon | 19.83 | 16.01 | 11.68 |
* Consolidated Figures in Rs. Crores
United Spirits Ltd Market Cap – Other Key Metrics
United Spirits’ market cap is ₹101,847.3 crore with a book value of ₹97.9 per share. The face value per share is ₹2. Total debt is ₹265 crore, ROE is 21.46%, and quarterly EBITDA is ₹747 crore. The dividend yield stands at 0.64%.
Market Capitalization: Market Capitalization represents the total market value of United Spirits’ outstanding shares, amounting to ₹101,847.3 crore.
Book Value: The book value per share of United Spirits Ltd is ₹97.9 indicating the value of the company’s net assets divided by its shares outstanding.
Face Value: The face value of United Spirits’ shares is ₹2, which is the nominal value of each share as stated on the share certificate.
Asset Turnover Ratio: The Asset Turnover Ratio of 1.11 measures how efficiently United Spirits uses its assets to generate sales revenue or sales income.
Total Debt: The Total Debt of United Spirits stands at ₹265 crore, representing the total amount of money the company owes to creditors.
Return on Equity (ROE): The ROE of 21.46% measures United Spirits’ profitability by revealing how much profit the company generates with the money shareholders have invested.
EBITDA (Q): The quarterly EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) of United Spirits is ₹747 crore, indicating the company’s operating performance.
Dividend Yield: The dividend yield of 0.64% shows the annual dividend payment as a percentage of United Spirits’ current share price, indicating the return on investment from dividends alone.
United Spirits Ltd Stock Performance
United Spirits Ltd delivered strong returns with 47.3% in one year, 30.1% over three years, and 19.8% over five years, showcasing consistent growth. This performance highlights the company’s ability to generate substantial gains for investors over different periods.
| Period | Return on Investment (%) |
| 1 Year | 47.3 |
| 3 Years | 30.1 |
| 5 Years | 19.8 |
Example: If an investor had invested ₹1,000 in United Spirits’ stock:
1 year ago, your investment would be worth ₹1,473.
3 years ago, your investment would have grown to ₹1,301.
5 years ago, your investment would have been ₹1,198.
United Spirits Ltd Peer Comparison
United Spirits Ltd showed impressive returns with a 47% increase in one year and an ROE of 21%. It has a P/E of 74, EPS of ₹19 and a market cap of ₹1,04,033 crore. Compared to peers like United Breweries and Radico Khaitan, United Spirits maintains strong performance metrics.
| Name | CMP Rs. | Mar Cap Rs.Cr. | P/E | ROE % | EPS 12M Rs. | 1Yr return % | ROCE % | Div Yld % |
| United Spirits | 1,430 | 1,04,033 | 74 | 21 | 19 | 47 | 28 | 0.63 |
| United Breweries | 1,915 | 50,629 | 113 | 10 | 17 | 27 | 13 | 0.51 |
| Radico Khaitan | 1,664 | 22,261 | 83 | 11 | 20 | 27 | 13.16 | 0.18 |
| Allied Blenders | 312 | 8,737 | 3,440 | 1 | 0 | – | 15.62 | – |
| Piccadily Agro | 855 | 8,062 | 92 | 31 | 12 | 790 | 30 | 0.02 |
| Tilaknagar Inds. | 243 | 4,680 | 33 | 25 | 7 | 23 | 22.28 | 0.10 |
| Sula Vineyards | 484 | 4,088 | 44 | 17 | 11 | -2 | 18.64 | 1.78 |
United Spirits Shareholding Pattern
United Spirits Ltd’s shareholding pattern in June 2024 includes promoters holding 56.67%, consistent with March 2024. FIIs reduced their stake to 15.09% from 16.68% in March. DIIs increased to 14.01% from 12.28%, while retail and others slightly decreased to 14.22%.
| All values in % | Jun-24 | Mar-24 | Dec-23 |
| Promoters | 56.67 | 56.67 | 57 |
| FII | 15.09 | 16.68 | 16.23 |
| DII | 14.01 | 12.28 | 12.5 |
| Retail & others | 14.22 | 14.37 | 14.6 |
United Spirits History
United Spirits Limited is a prominent player in the Indian alcoholic beverage industry. The company’s primary business involves the manufacturing, purchasing and sale of beverage alcohol, including the franchising of some brands in certain states. United Spirits operates through two main segments: Beverage alcohol and Sports.
The company’s beverage alcohol segment forms the core of its operations, encompassing the manufacture, purchase, franchise and sale of various alcoholic beverages and allied spirits. United Spirits boasts a diverse portfolio of premium brands, including internationally recognized names such as Johnnie Walker, Black Dog, Smirnoff and Captain Morgan, as well as popular Indian brands like McDowell’s No. 1 and Royal Challenge.
In addition to its beverage business, United Spirits has diversified into the sports sector through its subsidiary, Royal Challengers Sports Private Limited. This subsidiary holds the rights to operate a sports franchise, expanding the company’s presence beyond the alcohol industry and into the realm of sports entertainment.
How To Invest In United Spirits Ltd Share?
To invest in United Spirits Ltd shares, begin by opening a demat account with Alice Blue. Complete the necessary KYC process and fund your account with the desired investment amount.
Research the company’s fundamentals, financial performance, and market trends before making an investment decision. Use the trading platform provided by the broker to place a buy order for United Spirits shares at your preferred price.
Monitor your investment regularly and stay informed about company news and market developments. Consider setting up a systematic investment plan (SIP) for long-term investing in the stock if it aligns with your financial goals.
United Spirits Limited Fundamental Analysis – FAQs
Fundamental analysis of United Spirits Ltd examines key financial metrics: Market Cap (₹101,847.3 crore), PE Ratio (72.33), Debt to Equity (3.72), and Return on Equity (21.46%). These indicators provide insights into the company’s financial health, market valuation, and overall performance in the alcoholic beverage industry.
The market capitalization of United Spirits Ltd is ₹101,847.3 crore. This figure represents the total value of the company’s outstanding shares in the stock market, calculated by multiplying the current share price by the total number of shares outstanding.
United Spirits Limited is India’s largest alcoholic beverage company. It specializes in the manufacturing, purchasing and sale of various spirits and allied products. The company operates through two segments: Beverage alcohol and Sports, with a diverse portfolio of premium brands.
United Spirits is a public limited company, majority-owned by Diageo plc, a global leader in alcoholic beverages. While Diageo holds a controlling stake, United Spirits is a listed company with multiple shareholders including institutional investors and public shareholders.
The main shareholders of United Spirits Ltd typically include Diageo plc as the majority stakeholder, along with institutional investors (both domestic and foreign), mutual funds, and public shareholders. For the most current shareholding information, refer to the latest pattern disclosed by the company.
United Spirits operates in the alcoholic beverage industry, specifically in the spirits and liquor sector. It is engaged in the manufacturing, marketing, and distribution of various alcoholic beverages, including whisky, vodka, rum, and other spirits.
To invest in United Spirits shares, open a demat account with Alice Blue. Complete the KYC process and fund your account. Research the company thoroughly, then use the trading platform to place a buy order for the desired number of shares at your preferred price.
Determining if United Spirits is overvalued or undervalued requires a comprehensive analysis of its financials, growth prospects, industry trends, and market conditions. Investors should consider metrics like the P/E ratio and PEG ratio, and compare them with industry peers and historical values for a balanced assessment.
