Som Distilleries & Breweries Limited (SDBL) Q1 2027 Earnings Call Transcript

Ladies and gentlemen, good day, and welcome to the SOM Distilleries and Breveries Limited Q1FY27 Earnings Conference Call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star and zero on a touch-tone phone. Please note that this conference has been recorded. I now hand the conference over to Mr. Divakaran. Thank you, and over to you, sir.

Thank you. Good afternoon, everyone. My name is Divaat Karan, and I am the Chief Operating Officer of Home Distilleries and Brewers. Thank you very much for joining us for the Q1 2627 earnings call of Home Distilleries and Brewers Limited. Let me begin by acknowledging that Q1 was an extremely difficult quarter for the company. The operational and regulatory disruption in Madhya Pradesh. Had a significant impact on our volumes and consequently on our financial performance. Despite the disruption in Madhya Pradesh, there are some positives, which is very good. We saw a strong rebound in Karnataka with improving demand and market share. Bodhisattva also delivered a strong recovery, demonstrating the resale of our brands and distribution network. These trends are encouraging and give us confidence that the underlying business remains strong as market conditions normalize. A major milestone during the quarter was the successful commissioning and commencement of commercial production at our Uttar Pradesh unit, brewery. The facility adds approximately 10 million k's of annual beer capacity, giving us a significant new manufacturing and market access platform. Our focus now shifts from commissioning to ramp-up, capacity utilization, and market penetration. From an operating perspective, BR continues to be our core earnings engine, with 45 lakh BR cases sold during the quarter. BR represented approximately 98.9% of our total volume and 93% of our revenue. On the IMFL side, realization improved by approximately 3% year-on-year. So, while Q1 was undoubtedly a challenging phase, we believe there are several positive indicators beneath the reported numbers. The recovery in Karnataka and Odisha, the successful commissioning of UP, disciplined leverage, and continued investment in our brands and premiumization strategy. Our priorities for the balance of year 26-27 are clear. Restore normal operations at Madhya Pradesh. Sustain the recovery in Karnataka and Odisha, ramp up the EP facility, improve capacity utilization. Send in our premium portfolio and convert the early signs of recovery into sustainable volume and profitable growth. We remain confident in the underlying strength of the business with our expanded manufacturing footprint, improving market conditions, and a disciplined balance sheet. We believe SOM is well positioned for a meaningful revival as we move through full year 26-27. With this, I will hand over to Nakul to take you through the financial and operational performance in greater detail.

Over to Nakul.

Solidated volumes for the quarter stood at 45.79 lakh cases, with a total income of 268.8 crores, and Iwita stood at 15.2 crores. However, we believe these numbers need to be viewed in the context of the specific challenges faced during the quarter, and not as a reflection of the underlying potential of the business. I would also like to highlight the strength and resilience of the balance sheet. Despite the commissioning of the UP facility and the difficult operating environment, gross debt increased by only 10 crores during the quarter. Gross debt to its equity ratio moving marginally from 0.3x in March 26 to 0.31x in June 26. We have, therefore, added significant manufacturing capacity without any material increase in our logistics. More importantly, cash generation remains healthy. It generated close to 28 crores of cash from operations during the quarter. This is an important indicator of the underlying financial strength of our business. Even in a challenging quarter, we have continued to generate operating cash while maintaining discipline, leverage, and investing in our future capacity. Despite the disruption in Madhya Pradesh, our other operating businesses continue to demonstrate resilience. The Hassan facility operated at approximately 60% capacity utilization while the Ulisa facility operated at around 70% capacity utilization. As we speak, we have invested close to 300 crores in the UB brewery. And importantly, this investment has been made without taking any external debt. We have therefore created a substantial new manufacturing platform and expanded a capacity by maintaining a disciplined approach to leverage. With this, we would like to now move on to the Q&A session.

Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and 1 on the touchtone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Socrates Patel from iSight FinTrade Private Limited. Please go ahead.

Good afternoon to the team. I have two questions. My first question to Mr. Diwakaran is, I just want to understand on the operational side, what are the key priorities you are focusing in terms of manufacturing efficiency, supply chain growth, and compliance, and what risks do you see in raw material sourcing, regulatory frameworks, or demand volatility, and how are you preparing to meet meeting it? I just want to understand the forward guidance on this.

I think the question is a little long. Can you briefly tell me one after the other?

Yeah, I just want to understand forward guidance on how are you going to, on the operational playbook thing, and how are you going to strengthen the production, improve efficiency, and ensure compliance while preparing for risks in raw material challenges, regulation, and demand things. Just want to understand the forward guidance on this.

Yeah, you're talking about 26, 27?

Yes.

Yeah, okay. So, as you know, I know we have four capacities in all in terms of here, and out of the four MPs, as of now, suspended. So the remaining three capacities are there, and out of that, one is started just recently at the end of quarter one. The two other facilities that we have is in Arsene and Orissa. Both these expectations are, you know, And it's been operational for very long years, and we have all the best practices in terms of procurement, in terms of quality management, etc., which is already there, and we continue to focus on that through with rigor, right? And I don't see any new addition to it except for managing the availability of packaging materials. Which is dependent upon, particularly the can part of it, which is dependent upon a single supplier bulk operation for the entire industry, and we are also dependent on that. So, if we manage that properly, I think we have sufficient, you know, scope and scope to leverage during the coming quarters in terms of supply. As far as raw material pricing is concerned, and whatever is the... Whatever is the market volatility and whatever is being faced by others, we also are vulnerable to that. We are not completely, you know, away from it. And also we are playing in the same market and same kind of, you know, vendors from whom we purchase, whether it is imported or local. So we are vulnerable to that. But anyway, we can safeguard that through various measures that we adopt on an ongoing basis to keep our costs on check. And we are focusing on reducing our costs a lot more now, considering that we have to deliver better results in the coming forward.

Thank you. My second question to Mr. Sethi is, what key risks or challenges do you see in the coming quarters, and what specific measures have been taken to manage margins, cash flow, and strengthen the balance sheet, especially in areas like excise duties, receivables, or competitive pressures? Thank you.

I think our first priority is that we are focusing on restarting of the MP plant as soon as possible because it's been six months and we are mindful of that fact. Receivables, we normally operate in all or, you know, most of the markets which are, you know, where the wholesaler is the government. So I don't think that we have got receivable risk as such. And nowadays, the government also, you know, very pro-industry or you can say in terms of the payouts of receivables. So, that is fine. Normally, I think the key is... Obviously, the margin, I think we have been in the past operating in the industry, but I think our margins in the beer industry are mostly topmost. So I don't think we have a, you know, issue on that. Liquidity also, I mean, if you look at our results, which we have quoted for this quarter, in spite of MP plant being shut, I think all the other two facilities have done very well. We have seen a 30% increase in... You know, the cases sold in Sarnataka in Q1. And similarly, I think in Urita also, we have seen about close to about 40% increase. So I think once we get over with the MPE issue, I think we are on track again as compared to the previous years.

Thank you, and best wishes.

Thank you.

Thank you. The next question is from the line of Manoj Pal, an individual investor. Please go ahead.

Yeah, thank you very much for giving me the opportunity. My question is that since the Bhopal operations are closed, so it means that already we have lost the market share. So, what's your strategy that when we'll come back for the Bhopal operation to gain that?

Yeah, I mean, it's a good question, and thank you for that. What I can tell you is that, you know, Madhya Pradesh, of course, is a problem and that we are fixing, and we have been working on it for quite some time, and we hope that it will be fixed very soon. A sensor is not easy to get, and once we get them, it is important that we retain them. Some noise is happening. I'm unable to. Some noise is happening. Hello? Some background noise.

Yes, sir, this would be better. You may please go ahead.

So, of course, I mean, once the consumer moves away to a different brand, particularly for reasons of non-availability for a considerable period of time, it's not a very easy task to get them back. But what we are seeing in the markets where we are available, where we have been available for the first quarter of this year, except for Madhya Pradesh, where we weren't available, and daily to some extent. In those markets, our market share has been either retained or we are growing, you know, so that actually speaks about the strength of our brands and our distribution network. And therefore, we are confident that, you know, once we are able to sort out issues in terms of the license in Madhya Pradesh, it's a matter of time, you know, when consumers would, our consumers would return when they see the brands available in the sales. It is a long haul. It is not easy. You're right. But we have our plans and we have been in the business for quite some time to understand how this works and how the consumers move from one brand to another and when they come back, how to get them back. It's something that we have learned and we have tried in many markets. So particularly when there are supply gaps and we kind of resume after one or two months, you know, we kind of recover quickly. But with a long period of time, it will take some time to come back. But we are confident that we can get back because our brands have that inherent strength because they like the brand not just for being a brand brand, but it is also for the taste and the quality that we provide to the consumer and also the advantage of various pricing, etc. So, I think we are confident that the consumers will come back, but it will take a little time. In the markets, we have closed for a long time.

Okay, sir. I also wish for the best wishes that all our consumers should come back to home delivery whenever our operations get started. Sir, in last phone call, it was my question only, you answered that. That within the 15 days, we are going to start the operation of Brother Bhopal. So, I want you to know what went wrong. You know, after three months, that matter, the license is not yet restored.

So, see, this is not completely in our hands because it is in the hands of the courts and in the hands of the authorities. And therefore, and most of the matter is in the court, and therefore it is, you know, subjudice for us to discuss on the phone and give our views. But it just happened that, you know, that it is taking longer than what we had anticipated. And hopefully we are all working on it. I mean, our chairman, our entire team, leadership team is working on it, and we hope to fix it very soon.

Okay, sir. Thank you. That's all from my side.

Thank you. Thank you.

Thank you. Thank you. The next question is from the line of Nagaraj Pipali from An Individual Investor. Please go ahead.

Good afternoon. My question is, how much of CAPEX is already done on UP Phase 1 project, and what is the pending CAPEX for this Phase 1 project? And when did we start commercial production? And what is the capacity utilization at present? And what are the plans for phase 2 and its capacity?

Hi, sir. So, we have spent close to about 300 crores for the phase 1 of the project, and any pending capex is there on that? No, there is no pending capex, I mean, on the phase 1 as such, and commercial production started in, I think, about June 9th. So, currently, I think it is not meaningful to talk about the capacity utilization of the UP plant as of now, maybe I think after one or two months, we will be able to get you a, give you a fairie picture of that.

Got about phase two.

Phase 2 will, I think, sir, we have applied for the permissions because phase 2 is about the distillery. I think we have more a firmer idea about the execution, maybe three to four months down the line, sir.

Sir, my question is, like it was very great for management to convert UC plant as 100% subsidiary. What is stopping management to convert us and plant also to a 100% subsidiary from the present 78% so that we can improve the corporate governance as was done in UP subsidiary.

We have, so this is like you, you know, a lot of people have also, you know, commented on this. Let us evaluate and we'll get back to you on that pretty soon, sir.

Okay, thank you very much. And one more question is, how much of unsold stock is still held inside Mopal Bank and what is it still like?

So, we have got about 25 crores of finished goods. What about shelf life? Shelf life, that stock is undergoing verification as of now, and I think we'll have about a month shelf life remaining.

Okay, okay. And bookkeeping questions on my side. Can you please clarify the increase in expense duty paid in Q1 this year against much reduced sales?

So, this aside duty is because we have sold more in Karnataka and Urisa, where the aside duty has to be paid by the manufacturer before the dispatch of the finished goods, which is unlike in Madhya Bajai.

Okay, okay, that is good. And one small suggestion I got from my sector management. Once this Gopal issue is resolved, I request management to go for a rights issue to fund UP's plan to capes and keep the balance sheet strong and lose the cash flow from operations for funding working capital and improve credit ratings against existing loans. This is my suggestion, please. Okay, sir. Thank you so much. That's a very valid question, sir. And wish you all the best for the future. Thank you so much, sir.

Thank you. Before we take the next question, we would like to remind participants to ask a question. The next question is from the line of Chitaksh Gupta from Tikri Investments. Please go ahead.

Hi, sir. Thank you for your time. I have a couple of questions. So the first question, how much revenue we lost due to closure of MP plans in Q1? If you can give any number.

I think we lost about 250 crores of revenue.

Okay.

250 crores.

250 crores. Okay. Answer, our plan was to go live in Andhra Pradesh after the end of Q4 you had mentioned. So, did we go live in Andhra Pradesh? If yes, then how many cases we sold or how much revenue we made from Andhra Pradesh?

No, we will not. Setting up any plant in Andhra Pradesh, I think.

No, not about plants, sir. Like, we were entering Andhra Pradesh, just the direct sales.

Yeah, I am answering that question. So, yes, we had said that, you know, Q1, we were supposed to start, but unfortunately, the permissions from the state authorities, both excise and the corporation, Have got delayed, and we received that by end of July, right? And after that, we need to kind of take permissions from the exporting state, which is Karnataka, to start us, to export from here. All the export permissions needs to be taken. That process is on, and I think it should get over in about two weeks' time.

So, by Q3, we can start...

By first week of August... By first week of August, I think we should be able to see our brands in September, sorry. First week of September.

First week of September. We should be able to see our brands.

Thank you. Participants who wish to ask questions may press star and one at this time. The next question is from the line of Hiten Boricha from Sequent Investments. Please go ahead.

Hello. Hello.

Yeah. Am I audible, sir?

Yes, yes, very much.

Yeah, yeah. So, thank you for the opportunity. As you mentioned that the matter of Bhopal is currently in the court, so we cannot comment. But is it possible, like you just mentioned by one of my colleagues, that we are, like, taking the permission from export from Karnataka to AP. So, is it possible like we can do similar kind of practices to export from our Karnataka or the plant to Ghopal because our Housur capacity is running at 45-50%? Just to increase the capacity and increase the capacity utilization. Yeah.

This thing was evaluated. The cost of importing from any other state, whether from Odisha or UP plant, right, you know, is exorbitant. And it will erode our margin. Not even erode, it will be at a loss. Okay. Particularly because of the import fee, very huge import fee that Madhya Pradesh has.

Okay. Understood, understood. So, sir, if you can mention like currently our Bhopal plant is closed, it's not running. So, what kind of fixed cost we are bearing for quarterly as of now because of that plant?

I think about including everything, interest cost, salaries and electricity, what we are incurring about close to 6 to 7 per quarter.

Per quarter. And what is the plan, like are we doing anything to reduce that cost because our employee cost and everything remains stable? Are we taking any measures to reduce this cost here?

No, no, we have obviously minimized this cost because we have been trying to work on reducing the overhead as such. But we have not done away with any salary cuts or employees as such. But what we have done is that we have... We have tried to absorb the excess manpower in our other units, because, for example, we have shifted some people from Gopal to our UP plant, because we needed to do some hiring there. So, obviously, we shifted some people there. Some people have also been shifted to Asan or to Urita.

Understood. So, just to follow up on this, is it possible to give a breakup on the employee cost from that particular plan? Because we have 13 crore employee cost per quarter. Is it possible to give that?

I can give it to you, yes. I think it should be there in the stand-stand loan. Do you want the SGDL stand-loan?

Ah, yes, sir. So I have that. It's 5 crore, right?

Yeah, yeah.

Okay, okay. This 5 crore is attributed to this Gopal employee cost.

Yes.

Understood. No problem, sir. Sir, any timeline when this plant is going to start? Any comment on that, sir?

I think we are very hopeful that resolution to this problem should be done in this month itself.

Understood. Thank you. And all the time.

Thank you. The next question is from the line of Chayaraman, an industrial investor. Please go ahead.

Good afternoon, everyone. My question is, the UP plant, the phase one, we have put up and then started running at 3 million, I think, cases, right? So, the total capacity is supposed to be 10 million k's, right?

Then, that is the time that we have.

I think it will take us another three to four years to achieve that, you know, the peak capacity utilization of the UP card.

Okay, but, I mean, as far from the access, I mean, the overall, the sales in UP, it's astronomically, it's growing at a faster rate, right? So, I think, currently, our card should be running more than 60, 70 percent, right?

Sir, we only commissioned the plant in June.

Yeah, correct.

So, and right now we are in the lean season. It's not the main season for consumption of beer.

Correct.

So, it can't be at 60-70% capacity utilization. It's such a big plant, sir.

Oh, 3 million cases itself. No, I assume that...

It's not 3 million cases, sir. It's 10 million cases, sir. Current capacities? Yeah, yeah, 10 million.

Oh, fully set up is done? Yes, sir. Oh, okay, okay. But what I mean, my understanding, if I am wrong, you just correct me. Earlier, we used to supply our brands to UP, right, from MP plant. So our brand and acceptability are, the recognition is already there, right?

Yes, sir.

It is there. Okay. It is there, and that's exactly the reason why we have put up a plan, because our brands were well accepted. It is a matter of making it available during peak season. Particularly peak season, it was unavailable for UP to a large extent because of capacity utilization and demand in Madhya Pradesh market itself. And therefore, we could not do much at that time. That is the reason why we put up a plan. And also, you are right that the UP has got huge growth opportunities, and it has been growing for the last five, six years. And we expect that to happen in the next two to three years as well. You know, the growth will continue to be there because it's such a huge population of per capita consumption. I don't know. So, obviously, there is that opportunity, and like Nakul said, you know, it will take at least, I mean, the market is not death of capacity now. I mean, the other players are there. We have to now build on our brand franchise in that market and keep on pushing the brand and increasing our availability throughout the off-season. So, that's the coming season in, say, February, March. We will be in a better position than what we are today.

But strategic thinking, see, I have just gone through one of our peer, I would say, competitor, UBL transcript. They have a strategy like, whichever state has got overcapacity, they don't want to build a brewery over there. That's what their CEO, Mr. Kupta said. So what you are saying is that whichever state has got overcapacity, we will try to do contract manufacturing or licensing part. In a similar fashion, UPL is also coming head-on with us in UP. I think they are also planning a 700-800-core bribery over there in UP state. So it means that the demand is there. They are also projecting, you know, there will be huge demand. But my general question, a strategic question is that, should we, I mean, is it our policy or is it good for us to build a brewery in each and every state? Or, for example, if some states have got our capacity, then should we not use, you know, other players or neutral breweries, independent breweries capacity, and then contract manufacturing we can do, right? Yeah, carry on, carry on. Yeah, that's it. My strategy, I'm asking what kind of strategy we should go ahead to have, you know, because if SDBL becomes Pan-Indian player, then that is the best thing to happen, right? That is what my objective of this question is.

Absolutely, absolutely. That's how we have also mapped our capacity footprint. And if you look at our SDBL plan, it was completely supplying to the entire northern state, right? I mean, what is the plan that supplies to the eastern states, including West Bengal, Jarkhand, and the northeast states? Right. And similarly, we have a Karnataka capacity supplying to the entire southern states. Right. And UP, but with that available capacity in Madhya Pradesh, we were not able to service UP. Plus, UP is growing, and we don't put capacity for one year. We put, we plan capacity for next five to ten years. So, that's how the UP plant has been designed.

You are saying that in the neighboring streets, wherever the import is possible without a huge cost, import duty or something like that, we can serve from the neighboring brewery, I don't know.

Of course. So what, to just give you an idea that Delhi was being serviced from Madhya Pradesh plant, now it is getting serviced from UP plant, because Madhya Pradesh is unable to serve.

So only if you state, they don't want imported items, because they have high import duty like Maharashtra, where we have, we have to, if we want to penetrate the Maharashtra market, we have to put a delivery in the place, right? In their place.

Yeah. We also export to Maharashtra from a Madhya Pradesh unit.

That's minimal. I'm saying that if you really want to have, you know, sales.

Of course, for the long term, it is better, because such a large market. And such growth opportunities are there. We'll have to plan that. I mean, but we'll have to prioritize where to play first.

But my question is that in Maharashtra, in, for example, Punjab, in Jambu Kashmir, even in, for example, Sikkim or Rana Bridge, there is an independent brewery. Asgard, there is an Asgard, somebody is taken over, that was taken over by somebody. They need the company as Asgard brewery or something. They have got nice brands, beer brands. So what I have seen is not direct competitors. There are neutral breweries. They do contract working. Why can't we use, for example, Punjab has got a lot of neutral breweries. So, instead of exporting from neighboring states, it will be easier to, you know, to contract, but since our brands are visible very highly, right?

Yeah. Yeah, Mr. Chairman, we get the point. Wherever there is a possibility of... Keeping our cost low by taking a local contract brewing facility, we do that. I mean, there is an opportunity, right? Wherever it is not, I mean, we compare the options between importing and doing it locally. And whatever it is for the margin-wise, we go with that. Margin and quality also.

Okay. Regarding the NP plan, I don't want to comment on it because our industry, I know that it is a very highly regulated industry. I think as a management, I mean, you would do best for our stakeholders. Thank you so much. Thank you. Thank you. Thank you so much.

Thank you. The next question is from the line of Sunil Chathakia from BeFly India Opportunity Funds. Please go ahead.

Thank you for the opportunity. Am I audible? Sir, can you provide a state-wise or plant-wise volume and sales breakup, causally and bio-wise? You have four plants, right? You see, you've just started. So, the rest of the three plants, what are the data like? Just to figure out what's the growth of the plant and what's the impact of the closure of the plant?

The volume data, you want it plant-wise?

Yes.

We have already shared the capacity utilization. You can take out the volume data based on data.

Okay, I'll take it offline, if you don't mind. Yeah. Sir, next question, say for example, hypothetically, in effect 27, you don't get an actual for the empty plant. Where do you see the revenue and volume and margin for the SI27?

I think first of all, we will not work on that assumption.

Okay.

Right now, I am not prepared to share any number based on that MP plan development function. Why should I imagine that? I mean, we are very hopeful that it should get resolved as soon as possible.

I understand. I mean, one has to be positive about it, but that doesn't happen. There has to be plan B, right?

I mean, we have a plan B. I think it's not appropriate to discuss plan B right now. That's what I'm saying. We are very optimistic that we shall soon be back on track.

Okay. So, with that, what sort of revenue and is it a margin you expect for FF27?

I think I'll stay with my guidance of 1,000 crores of revenue.

Your guidance is 1,200 of 1,500, so you're saying 1,000 now, right?

I mean, as of now, let's keep it 1,100 crores. Margin and all, I think we'll have better idea by the next call which we have.

Okay, fine, fine. Sir, this particular brand, Sunnybeats, is in minimum, this quarter only, because I didn't see that earlier.

Sorry?

The brand, Sunnybeats, is last quarter even.

I think Salih Bishis has done very well in Sanataka, yes, Sanataka, yes.

Okay. Okay. How many brands do you have in here in Tobi?

As of now, we have got Hunter, Blackfort, Powercool, Sunny Beaches, Legend. Five brands.

Five brands, okay. So what are your reactions behind? What are your reactions behind? Six brands, totally. India. So what are your reactions behind suveny brands in India? I mean, what's your strategy? I mean...

Sir, your voice is not clear. I am talking about it. I am talking about it.

Is it clear now, sir? Is it better?

Yeah, I am much better now.

Okay, sorry for that. Sir, I'm just trying to understand, we have a six brand in BO category. So, what is the rationale behind having so many brands? What is the strategy companies adopted, and why do we have six brands in BO category?

Diva, sir, can you answer that, please?

So, I mean, I personally believe that, you know, having a good portfolio and having, you know, each brand doing its own work, each market depending on that market segment and the kind of consumers that we are addressing. You know, playing a portfolio game is better than having one brand and trying to fit it into consumer's head everywhere across the country. So we've always been a portfolio company, right? And our one brand is a national brand is Hunter. And we want to make Kutbaker also a national brand. But there are regional brands like this, like, you know, Power Pool and Power 10,000. And we have Black Fort and Sunny Peaches now. Which are accepted by the consumers. I mean, so depending on the market opportunity and depending on what the consumer wants, the pricing opportunity that we have, we place those kind of markets, I mean, with the brands. I mean, we cannot, for example, in Karnataka, the size of the market is, you know, is a mix of affordable beers and mainstream beers and premium beers. So, if I have portfolio, I can play. If I cannot reduce my hunter beer price to the level of affordable beer, right? So, I play with different brands, so in different markets.

Okay. Okay.

Okay.

Fair enough, sir. Fair enough. Sir, the next question is on the private company, Swoom Distillery Private Limited. Can you explain what it does, which brand it holds? Can you give some brief about the private company?

I think, sir, on this call, let's not discuss about the private company.

Are the licenses common?

What you can do is you can connect with us separately, then maybe we'll give you a more detailed understanding. Okay?

Sure, I'll connect with you later on. Sure, sure, sure.

Yeah, yeah. Thank you.

Sir, one last question. All the brands what you discussed and what you mentioned all belong to the listed entity only, right? The brands of six, seven beer brands plus Mahavast and all belongs to the listed entity, right? Brands.

Yes, I guess so.

Yes.

I guess, I mean, it's

all with the, I'm just repeating the question again. It's all belongs to the listed entity, right? Not the private company.

I don't know why. I told you now, let's discuss it one-to-one, whatever you got queries on.

Okay.

Okay. Fine. Thank you. Thank you. Thank you. The next question is from the line of Chitaksh Gupta from Thikri Investments. Please go ahead.

Hi, sir. Thank you for taking my question again. So my question is regarding the raw material. So how was the situation of raw material and bottling cost in Q1? And did we take any price hike?

No, sir. I think we have seen an increase in the price of canned, malt, bottles during the first quarter as compared to quarter one last year. Average increase has been about 7.5% to 8%.

Answer, how many new products are we planning to launch for the financial year, either in beer or in whiskey category, IMFL category?

Niva, sir, can you answer that?

So, in the peer category, I think we'll continue to focus on the existing portfolio of brands. Maybe we'll evaluate one or two extensions of the existing brands in some markets. As far as IMF is concerned, I think Mawad has been launched in Bhopal, Delhi, and UP. I think once we resume supplies from the file, I think that will be a big focus for this year. And probably we'll step into the Indian single mold category before the end of this year.

As a single mold will be completely in-house developed by us only? Okay, sir. Understood. Thank you so much.

Thank you. Ladies and gentlemen, we will take that as the last question of the day. And now, I would like to hand over the conference to Mr. Dhivakaran for closing comments.

Thank you so much for taking your time and being with us. We always value your feedback and we value our relationships. And we are always pleased to satisfy any doubt that you have. And thank you once again for being with us today.

Thank you. On behalf of SOM Distilleries and Braveries Limited, that concludes this conference. Thank you for joining us and you may now disconnect the lines.