United Spirits Q3 results preview: PAT likely to jump 70%; volume growth to be in focus

United Spirits Q3 preview: Shares of United Spirits (USL Ltd), the subsidiary of Diageo, ended flat with a negative bias at Rs 1,107.85, down 0.07 per cent on the BSE on Tuesday, January 23, ahead of its Q3 FY24 (October-December) result announcement, due later in the day. The company is expected to report a good set of numbers for the quarter under review.

Zee Business Research analysts expect the liquor company to report standalone revenue of Rs 2,997 crore, up 7.7 per cent year-on-year (YoY) against Rs 2,781 crore logged in the year-ago period.

EBITDA, or earnings before interest, taxes, depreciation, and amortisation, is expected to jump 19.2 per cent YoY to Rs 439 crore. The company had posted an EBITDA of Rs 368 crore in Q3 FY23.

Margin is seen at 14.6 per cent compared to 13.2 per cent in the corresponding quarter of the previous fiscal. Profit after tax (PAT), or net profit, is likely to jump 70.2 per cent YoY to Rs 189 crore. The company had logged a profit of Rs 111 crore a year ago.

The "Prestige & Above" (P&A) segment is likely to see moderate volume growth of 9 per cent while the "Popular" segment's volume is seen falling around 10 per cent, as per the research desk. The prices of ENA (Extra Neutral Alcohol) are expected to remain stable. Key things to track include volume growth and demand during the festive season.