Som Distilleries and Breweries Ltd reported a sharply weaker performance for the first quarter of FY27, with net profit plunging more than 96% year-on-year and revenue from operations declining nearly 50%, reflecting severe pressure on sales, operating income and profit margins during the June 2026 quarter.
The Bhopal-based beer and liquor manufacturer posted a net profit of ₹1.6 crore in Q1 FY27, compared with ₹42.1 crore in the corresponding quarter of FY26, representing a 96.2% decline. Revenue from operations fell to ₹269 crore, down from ₹528 crore a year earlier, a drop of about 49.2%. Such a steep fall in sales significantly affected the company’s ability to absorb fixed costs, resulting in a substantial deterioration in profitability.
The company’s EBITDA declined to ₹14.9 crore from ₹70.2 crore, a fall of nearly 78.8% year-on-year. EBITDA margin contracted sharply to 5.5%, compared with 13.3% in Q1 FY26, indicating that operating leverage weakened considerably as revenue dropped. The combination of lower sales volumes and shrinking margins made the June quarter one of the weakest quarterly performances reported by the company in recent years.
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Som Distilleries and Breweries, established in 1993, is one of India’s established alcoholic beverage manufacturers with operations spanning beer, Indian Made Foreign Liquor (IMFL) and ready-to-drink alcoholic beverages. The company markets its products across multiple Indian states and also has an international presence. Its beer portfolio includes Hunter, Woodpecker, Black Fort and Power Cool, while its spirits portfolio features brands such as Pentagon Gold Edition, Milestone Blue, Milestone 100, Legend Premium Whisky and White Fox Vodka.
The company’s primary manufacturing facility is located near Bhopal, and it has expanded production and distribution capabilities into Karnataka and Odisha. In recent years, Som Distilleries has invested in modern brewing technology, capacity expansion and operational efficiency initiatives aimed at strengthening its long-term manufacturing and distribution network.
For investors, the Q1 FY27 results raise concerns about the pace of demand recovery in the beer and IMFL segments. The sharp decline in revenue and profitability suggests that the quarter was affected by a combination of weak sales performance, lower operating income and significant margin pressure. Market participants will now closely watch whether the company can improve sales momentum, restore operating margins and stabilize earnings over the coming quarters, as the key question remains whether the current weakness is temporary or indicative of deeper structural challenges in the business.
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