ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintIcon Twitter
Consumer Non-Durables

United Breweries Ltd.

Company Background

The company is the beer-industry leader in India, controlling about 50% of the market. Dutch brewer Heineken holds a roughly 40% share in the company, while UB Group Chairman Vijay Mallya holds a stake of about 36%. Heineken owns much of its stake in the company through its Indian subsidiary, Scottish & Newcastle India.

Mallya's stake was once the same as Heineken's, but the Dutch company increased its interest 2013. Mallya, who also owns the grounded Kingfisher Airlines, was elected chairman of UB Group in 1983 at age 28. Prior to joining his family business, he worked for the American Hoechst Corporation (now Sanofi-Aventis) in the U.S. and Jenson & Nicholson in the U.K.

United Breweries was set up in 1915 after Scotsman Thomas Leishman bought and merged five breweries in south India. In 1947, the company was purchased by Mallya's father, Vittal Mallya. In 2004, United Breweries entered a joint venture with Scottish & Newcastle India, which is now owned by Heineken, to produce and sell beverages. The company behind India's best-selling beer, Kingfisher Strong, started manufacturing and distributing Heineken beer in India in 2009.

Business Summary

United Breweries Ltd. is a holding company, which engages in the manufacture and trade of beer and Non-alcoholic beverages. It operates through the Beer and Non-Alcoholic Beverages segments. The Beer segment includes the production and sale of beer, as well as the licensing of brands. The Non-Alcoholic Beverages segment involves in the purchase and sale of non-alcoholic drinks. The firm's brands include Kingfisher Premium, Kingfisher Strong, Kingfisher Ultra, Kingfisher Ultra Max, Kingfisher Storm, and Kingfisher Buzz. The company was founded on March 15, 1915 and is headquartered in Bangalore, India.

Financial Highlights

Mar 2021 INRUSD
Revenue42,430.90M571.57M
Gross Profit12,704.60M171.14M
Operating income1,966.80M26.49M
Income before tax1,694.10M22.82M
Net income1,132.20M15.25M
EBITDA4,286.90M57.74M
Diluted EPS4.280.05
Dividends Per Share0.500.00
Total Assets58,788.20M804.06M
Total liabilities22,927.90M313.59M
Total equity35,822.80M489.95M
Operating cash flow5,967.30M80.38M
Currency in INRCurrency in USD

Historical Data

 Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021
Revenue 47,291.90M 56,190.20M 64,754.30M 65,092.40M 42,430.90M
Gross Profit 16,351.30M 20,154.30M 23,676.30M 21,843.90M 12,704.60M
Operating income 3,742M 6,566.40M 9,092.30M 6,090.60M 1,966.80M
Income before tax 3,481.30M 6,078.20M 8,793.10M 5,689.20M 1,694.10M
Net income 2,295.70M 3,942M 5,629.40M 4,277.30M 1,132.20M
EBITDA 6,612.50M 9,162.90M 11,690.90M 8,941.60M 4,286.90M
Diluted EPS 8.68 14.93 21.29 16.17 4.28
Dividends Per Share 1.15 2 2.50 2.50 0.50
Total Assets 45,125.20M 47,745.10M 54,315.70M 55,774.50M 58,788.20M
Total liabilities 21,755.30M 20,813.10M 22,447.60M 20,538.50M 22,927.90M
Total equity 23,342.10M 26,902.60M 31,837.70M 35,202.60M 35,822.80M
Operating cash flow 4,882.80M 5,147.90M 6,188M 4,833.60M 5,967.30M
 Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021
Revenue 705.24M 871.62M 925.81M 918.00M 571.57M
Gross Profit 243.84M 312.63M 338.50M 308.06M 171.14M
Operating income 55.80M 101.85M 129.99M 85.89M 26.49M
Income before tax 51.91M 94.28M 125.71M 80.23M 22.82M
Net income 34.23M 61.14M 80.48M 60.32M 15.25M
EBITDA 98.61M 142.13M 167.14M 126.10M 57.74M
Diluted EPS 0.12 0.23 0.30 0.22 0.05
Dividends Per Share 0.01 0.03 0.03 0.03 0.00
Total Assets 694.92M 732.04M 784.05M 737.25M 804.06M
Total liabilities 335.03M 319.11M 324.03M 271.48M 313.59M
Total equity 359.46M 412.47M 459.58M 465.32M 489.95M
Operating cash flow 72.81M 79.85M 88.47M 68.16M 80.38M

Valuation Measures

Mar 2021
PER289.95
ROA1.97%
ROE3.18%
Operating margin4.63%
Profit margin2.66%

Key executives

  • Chief Executive Officer, MD & Executive Director: Rishi Pardal
  • Senior Vice President-Operations & Malting: Rohtash Kumar Jindal
  • Senior Vice President-Operations: C. Gouri Shankar
  • Chief Financial Officer & Director: Berend Cornelis Odink
  • Head-Information Technology: Kapil Pal

Shareholders

  • United Breweries Ltd. (34.0%)
  • Government of India (16.7%)
  • Heineken NV (12.4%)
  • MALLYA VIJAY (8.0%)
  • ICICI Prudential Asset Management Co. Ltd. (2.7%)
  • McDowell Holdings Ltd. (1.7%)
  • Franklin Templeton Asset Management (India) Pvt Ltd. (1.5%)
  • Kotak Mahindra Asset Management Co. Ltd. (1.3%)
  • Kamsco Industries Pvt Ltd. (1.2%)
  • Derive Trading Pvt Ltd. (1.2%)

Contact Details

Related Companies

  • United Breweries Ltd. Provident Fund
  • Pacific Spirits Pvt Ltd. /Brewery Assets/
  • Scottish & Newcastle India Pvt Ltd.
  • Maltex Malsters Ltd.
  • Chennai Breweries Pvt Ltd.
  • UB Ajanta Breweries Pvt Ltd
  • London Draft Pubs Pvt Ltd.
  • UB Group Employees Welfare Trust

Competitors

    Last Updated on 24 Sep, 2021

    You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

    Stay ahead with our exclusives on Asia;
    the most dynamic market in the world.

    Stay ahead with our exclusives on Asia

    Get trusted insights from experts within Asia itself.

    Get trusted insights from experts
    within Asia itself.

    Try 1 month for $0.99

    You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

    This is your last free article this month

    Stay ahead with our exclusives on Asia; the most
    dynamic market in the world
    .

    Get trusted insights from experts
    within Asia itself.

    Try 3 months for $9

    Offer ends July 31st

    Your trial period has expired

    You need a subscription to...

    • Read all stories with unlimited access
    • Use our mobile and tablet apps
    See all offers and subscribe

    Your full access to Nikkei Asia has expired

    You need a subscription to:

    • Read all stories with unlimited access
    • Use our mobile and tablet apps
    See all offers
    NAR on print phone, device, and tablet media

    Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

    Celebrate our next chapter
    Free access for everyone - Sep. 30

    Find out more