Varun Beverages Ltd (VBL), a prominent bottler for PepsiCo, is scheduled to release its financial results for the quarter ending March 31, 2026, today, April 27. Alongside the quarterly earnings, the company's board will also declare an interim dividend for its equity shareholders for the financial year 2026.
Strong Stock Performance Ahead of Q1CY26 Announcement
In anticipation of today's announcements, shares of Varun Beverages have demonstrated significant upward momentum. On Monday, the stock rose nearly 1.5 percent to Rs 498, pushing its market capitalization close to Rs 1.68 lakh crore. This recent gain contributes to a remarkable 30 percent surge in the stock price throughout April 2026, starting from Rs 384.10 on March 30. Despite this rally, the stock remains approximately 8 percent below its 52-week high of Rs 543.50, recorded in May 2025.
The company operates on a January-December financial year, meaning today's results pertain to the first quarter of calendar year 2026 (Q1CY26).
Analyst Expectations for Varun Beverages Q1CY26 Results
Several brokerage firms have provided their projections for Varun Beverages' Q1CY26 performance:
- Elara Capital: Forecasts revenue of Rs 6,030 crore, a 43.4 percent year-over-year (YoY) increase. They expect EBITDA at Rs 1,265.1 crore and net profit to nearly triple YoY to Rs 739.8 crore.
- YES Securities: Anticipates revenue of Rs 5,950.2 crore, up 6.9 percent YoY, with EBITDA at Rs 1,309 crore and net profit at Rs 754.9 crore, both showing modest YoY growth. They project a volume growth of 3.3 percent YoY but expect gross margins to contract by 57 basis points to 54 percent.
- B&K Securities: Projects revenue of Rs 5,945.9 crore, a 6.8 percent YoY rise. They expect EBITDA margins to contract to 20.3 percent and adjusted net profit at Rs 683.1 crore, which would be down 6.6 percent on a yearly comparison. B&K Securities maintains a 'buy' rating on the stock.
- Motilal Oswal Financial Services: Expects net sales to grow 7 percent YoY in Q1CY26, with EBITDA margin contracting by 20 basis points to 22.5 percent. They foresee gross margins expanding by 50 basis points and international volumes increasing by high double digits.
Brokerage houses like Antique Stock Broking, JM Financial, and Motilal Oswal have 'buy' ratings on Varun Beverages, with target prices ranging from Rs 474 to Rs 555. Elara Capital has an 'accumulate' rating with a target of Rs 535, while Geojit Investments has a 'hold' rating with a target price of Rs 422.