United Spirits Ltd - Stock Valuation and Financial Performance

BSE: 532432 | NSE: MCDOWELL-N | Breweries & Distilleries | Large Cap

United Spirits Share Price

1,182.70 -17.55 -1.46%
as on 12-Apr'24 16:59

DeciZen - make an informed investing decision on United Spirits

Overall Rating
Bole Toh

1. Quality

2. Valuation

Fair

3. Price Trend

Semi Strong

United Spirits stock performance -

mw4me loader
P/E Ratio (CD):
67.79
Market Cap:
86,023.8 Cr.
52-wk low:
754.4
52-wk high:
1,207.4

Is United Spirits Ltd an attractive stock to invest in?

1. Is United Spirits Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that United Spirits Ltd is a average quality company.

2. Is United Spirits Ltd undervalued or overvalued?

The key valuation ratios of United Spirits Ltd's currently when compared to its past seem to suggest it is in the Fair zone.

3. Is United Spirits Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of United Spirits Ltd is likely to Rise-somewhat in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of United Spirits:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
United Spirits Ltd has performed well in some of the past ten years indicating its past ten year financial track record is somewhat good

Value Creation

Value Creation Index Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
ROCE % -13.9%-12.1%8.3%9.1%11.9%14.1%12.3%9.7%19.2%18.9%-
Value Creation
Index
-2.2-2.1-0.3-0.20.10.30.1-0.10.70.7-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 10,6159,3358,4958,8188,5919,3419,3258,1319,71210,61225,299
Sales YoY Gr.--12.1%-9%3.8%-2.6%8.7%-0.2%-12.8%19.4%9.3%-
Adj EPS -36-20.72.23.779.28.15.512.513.617.5
YoY Gr.-NANA72.4%86.6%31.8%-12%-31.7%126.8%8.1%-
BVPS (₹) 41.79.122.524.533.342.551.256.668.282.598.5
Adj Net
Profit
-2,615-1,5051582725076695884029119851,269
Cash Flow from Ops. -552-1962836479259487831,818977615-
Debt/CF from Ops. -15.1-25.4156.43.7330.50.40-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 0%4.3%4.4%9.3%
Adj EPS NA14.2%18.7%8.1%
BVPS7.9%19.9%17.2%20.9%
Share Price 8.8% 16.7% 31.2% 55.2%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Return on
Equity %
-66.9-81.513.815.924.124.317.310.220.11819.3
Op. Profit
Mgn %
-1.36.111.611.414.114.916.31316.413.27.5
Net Profit
Mgn %
-24.6-16.11.936.175.94.79.29.25
Debt to
Equity
2.77.62.62.31.40.90.60.20.10-
Working Cap
Days
121107838689898992818849
Cash Conv.
Cycle
1727167-6-14-9-18-19-1022

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 19.30%

Net Profit is growing at healthy rate in last 3 years 18.71%

Sales growth has been subdued in last 3 years 4.40%

Sales growth is not so good in last 4 quarters at -14.33%

Latest Financials - United Spirits Ltd.

Standalone Consolidated
TTM EPS (₹) 15.6 17.5
TTM Sales (₹ Cr.) 24,778 25,299
BVPS (₹.) 94.4 98.5
Reserves (₹ Cr.) 6,722 7,015
P/BV 12.53 12.01
PE 76.02 67.79
From the Market
52 Week Low / High (₹) 754.40 / 1207.35
All Time Low / High (₹) 5.65 / 1204.00
Market Cap (₹ Cr.) 86,024
Equity (₹ Cr.) 145.5
Face Value (₹) 2
Industry PE 73.7

Management X-Ray of United Spirits:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *1.191.191.191.191.191.191.191.191.181.18
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Key Ratios of United Spirits

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Sales10,6159,3358,4958,8188,5919,3419,3258,1319,71210,612
Operating Expenses 10,7539,3027,5307,8287,3837,9477,8107,0798,1179,207
Manufacturing Costs2,5142,1722,1572,1881,9612,0271,9041,8092,1412,073
Material Costs3,6883,3742,9633,1102,6653,0063,5342,9463,4374,224
Employee Cost 860778680688681690530556653610
Other Costs 3,6912,9781,7311,8422,0772,2241,8431,7671,8862,300
Operating Profit -138339659891,2071,3941,5161,0531,5951,405
Operating Profit Margin (%) -1.3%0.4%11.4%11.2%14.1%14.9%16.3%12.9%16.4%13.2%
Other Income 68681441052196979404885
Interest 1,32368745737527823721218888104
Depreciation 203223157189192215285299304283
Exceptional Items -3,236-839-27-368-45367-64-165176
Profit Before Tax -4,213-1,6353661639121,0121,1605401,0871,279
Tax 2765222370260328540178276153
Profit After Tax -4,489-1,687143936526846213628111,126
PAT Margin (%) -42.3%-18.1%1.7%1.1%7.6%7.3%6.7%4.5%8.3%10.6%
Adjusted EPS (₹)-61.8-23.21.91.48.79.69.15.311.415.6
Dividend Payout Ratio (%)0%0%0%0%0%0%0%0%0%0%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23

Equity and Liabilities

Shareholders Fund 3,0326601,6351,7822,4193,0853,7224,1134,9545,999
Share Capital 145145145145145145145145145146
Reserves 2,8875141,4891,6362,2742,9403,5773,9684,8095,853
Minority Interest116-314-3-41-61-790
Debt8,0364,7713,7273,7773,0642,8701,6218773400
Long Term Debt9971,11773187076378015210
Short Term Debt7,0393,6542,9972,9072,3012,0891,6068753390
Trade Payables1,8308001,0191,2251,4251,4081,1991,4171,5821,783
Others Liabilities 1,8621,5701,7531,9371,9732,4152,1913,0471,9661,823
Total Liabilities 14,7617,8018,1398,7188,8949,7758,6929,3938,7649,604

Fixed Assets

Gross Block7,2382,9152,0392,3002,3952,5742,9483,1012,9972,840
Accumulated Depreciation1,5379941523836047329921,2161,1081,223
Net Fixed Assets5,7001,9211,8871,9171,7911,8411,9561,8861,8891,617
CWIP 110114282199102118121979683
Investments 238216770025220222286
Inventories2,9351,7581,9521,9281,9201,9341,9282,0522,1572,230
Trade Receivables2,2651,7522,3032,9532,7112,5432,2842,1872,3742,434
Cash Equivalents 70536313787256283748460883
Others Assets2,8081,6771,5021,6342,1143,0302,3093,0881,9662,071
Total Assets 14,7617,8018,1398,7188,8949,7758,6929,3938,7649,604

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity -552-1962836479259487831,818977615
PBT -4,213-1,6353661639121,0121,1605401,0871,279
Adjustment 5,2452,347686546460558375581553169
Changes in Working Capital -1415-766-579138-34217-170804-205-565
Tax Paid -170-141-191-200-413-837-583-107-457-268
Cash Flow From Investing Activity -2523,877751-227104-66-194-99-313-53
Capex -273-207-258-258-30-77-200-138-96-110
Net Investments 1082411109-270-2-222-809
Others 214,0841862026386415866
Cash Flow From Financing Activity 1,235-4,002-1,160-470-966-808-740-1,707-688-501
Net Proceeds from Shares 2,093000000000
Net Proceeds from Borrowing -4,859452-420000-7500-1
Interest Paid -955-720-460-375-253-229-181-142-50-36
Dividend Paid -36-100000000
Others 4,993-3,732-658-95-713-579-559-815-638-463
Net Cash Flow 431-321-126-506375-15012-2361
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Ratios
ROE (%)-117.4-91.4112.55.4431.0424.8418.239.2417.8820.56
ROCE (%)-23.89-11.1614.299.1120.2121.1422.7313.1122.8224.48
Asset Turnover Ratio1.521.9933.063.023.093.123.033.423.03
PAT to CFO Conversion(x)N/AN/A1.986.961.421.391.265.021.20.55
Working Capital Days
Receivable Days36333137393331302732
Inventory Days42382827262424262529
Payable Days152124111132181172135162159145

United Spirits Ltd Stock News

United Spirits Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of United Spirits on 12-Apr-2024 16:59 is ₹1,182.7.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 12-Apr-2024 16:59 the market cap of United Spirits stood at ₹86,023.8.
The latest P/E ratio of United Spirits as of 12-Apr-2024 16:59 is 76.02.
The latest P/B ratio of United Spirits as of 12-Apr-2024 16:59 is 12.53.
The 52-week high of United Spirits is ₹1,207.4 and the 52-week low is ₹754.4.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of United Spirits is ₹24,778 ( Cr.) .

About United Spirits Ltd

United Spirits (USL), is the largest spirits company in India and a flagship entity of UB group. It manufactures wide range of whisky, vodka, rum and other spirits. United Spirits is among the top three spirits companies in the world. USL has a global footprint with exports to over 37 countries. It has a sizeable presence in India with distilleries and sales offices all across the country, and a committed team of over 7500 people dedicated to the fulfillment of the company's mission. It has established manufacturing and bottling plants in every state of India. In addition, to deliver its products to customers located anywhere in India, USL has established a robust distribution network covering the whole country.

United Spirits represents the merged entities of the erstwhile McDowell & Co. Limited, Phipson Distillery Limited, United Spirits Limited, Herbertsons Limited, Triumph Distillers and Vintners Private Limited, Baramati Grape Industries Limited, United Distillers India Limited, McDowell International Brands Limited, Shaw Wallace Distilleries Limited and Shaw Wallace & Company Limited. The erstwhile McDowell & Co. Limited was first established as a proprietary business in 1826.

United Spirits acquired Andhra Pradesh (AP)–based, Tern Distilleries, in 2009, in a bid to augment its primary distillation capacity. This is the company's third manufacturing unit in the region given that one fifth of USL's sales volumes come from AP.

USL acquired Balaji Distilleries Limited in December 2010. This acquisition gave the company the strategic advantage to consolidate the Group's leadership position in a critical, large and growing State like Tamil Nadu.

USL's technical centre is located in Bangalore, which develops new products, conducts research and development, flavour testing and quality management. It has 62 manufacturing units.

The company has received recognition for its quality products from independent jury such as International Wine & Spirits Competition (UK), International Spirits Challenge (UK), World Beverage Competition (US), Monde Quality Institute (Belgium) and Mundusvini (Germany).

Its brands include Black Dog 12 YO Deluxe Scotch Whisky, Black Dog Centenary Scotch Whisky, Antiquity Blue Whisky, Antiquity Rare Whisky, Signature Whisky, Single Malt Whisky, DSP Black Whisky, Celebration Rum, McDowell's No.1 Brandy, White Mischief Vodka, Premium Romanov and Blue Riband Gin.

United Spirits acquired leading distiller of Scotch whisky Whyte & Mackay and  Bouvet Ladubay, a wine subsidiary of French champagne company Taittinger. Whyte & Mackay and Bouvet Ladubay are now 100% subsidiaries making United Spirits a manufacturer of 17 millionaire brands.

Awards and Recognition

  • United Spirits' brand Gilbey’s Green label is winner of World Star ’96 award for packaging innovation. It has also received 2 star rating for superior taste from International Taste and Quality Institute (ITOI).
  • Its brand Antiquity has been a winner of World Star, Asia Star and India Star awards.
  • White mischief is a market leader with 45% of share in the vodka segment.
  • Mc Dowell’s Whisky is the world 3rd fastest growing spirit brand.
  • Mc Dowell’s Single Malt was awarded at International Wine and Spirits Competition.
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