Globus Spirits Ltd

Steering Through Transformation

Globus Spirits stands at the forefront of this change, proudly redefining what Indian alco-bev brands represent in today's dynamic landscape.

Dear Shareholders,

It is with great pride that I present the Annual Report of Globus Spirits for the financial year ended March 31, 2025. FY25 tested the strength of our foundation and the sharpness of our strategy. Amidst global headwinds and domestic volatility, we remained agile, resilient, and future-focused.

Our consumer business—especially our Prestige and Above portfolio—continued its upward trajectory, fuelled by innovation, brand strength, and deep consumer insight. Alongside this, our regular brands are also catapulting the company forward, expanding our reach and reinforcing our leadership across diverse consumer segments. As we adapt to changing dynamics, our ability to anticipate trends, scale new ideas, and execute with precision has become our greatest asset. FY25 was not just a test of endurance—it was a testament to our transformation.

The global economy continues to face uncertainty, shaped by persistent geopolitical tensions, inflationary pressures, and uneven recovery across regions—making volatility the new normal. In this complex environment, businesses must prioritise resilience, long-term thinking, and value creation. Amidst this backdrop of volatility and rapid shifts, India's alco-bev industry is undergoing a dynamic evolution, reshaping itself to meet changing consumer aspirations and market realities. The shift toward premiumisation has evolved from a trend to a widespread consumer movement, driven by rising incomes, aspirational lifestyles, and a growing demand for refined experiences. At the same time, a renewed sense of consumer pride is shaping preferences, with Indian consumers increasingly choosing homegrown brands that embody trust, authenticity, and craftsmanship. Globus Spirits stands at the forefront of this change, proudly redefining what Indian alco-bev brands represent in today's dynamic landscape.

In 2024-25, we witnessed robust growth across our Prestige and Above portfolio, validating our focused premiumisation strategy. The year saw strategic team expansion and the successful launch of four distinct brands—Doaab, Terai (Litchis & Mulberries), Seventh Heaven, and Brothers & Co.—crafted to meet the refined tastes of modern consumers. A key milestone was achieved as this segment not only crossed _100 crore in revenue but soared to an impressive _129 crore, reflecting robust growth and strong market momentum. Our premium footprint also expanded to seven key states, cementing a strong pan-India presence.

Within the Regular and Others segment, we sustained our leadership position in Rajasthan while maintaining strong profitability. The strategic foray into the high-potential Uttar Pradesh market lays the foundation to unlock meaningful volume and margin opportunities moving forward. Our portfolio of three millionaire brands continued to reinforce consumer trust and brand strength, helping us deliver resilient margins amid input cost volatility.

The Manufacturing business made a strong comeback, returning to profitability by the end of the year through swift cost optimisation and strategic enhancements. Improvements in maize processing and increased input flexibility, along with the positive tailwinds from ethanol policy reforms, strengthened operational efficiency.

We also commenced operations at a new bottling unit in Uttar Pradesh (April 2024), while construction of the upcoming distillery remains on track for Q3 FY26. Strategic investments in corn oil extraction in West Bengal and a multi-feed facility in UP are expected to drive integrated, scalable growth. The reinstated FCI policy further supported stability and predictability in raw material sourcing.

In the Prestige and Above portfolio, we expect the strong growth momentum to continue, driven by evolving consumer preferences, a broader distribution footprint, and our concerted efforts to deliver the right products in the right markets while continuously expanding our premium range. Our strategy remains attuned to emerging global trade developments, and we continue to monitor potential opportunities and risks as the landscape evolves. Additionally, through our JV with ANSA McAL, we are launching the iconic Carib? Beer in Uttar Pradesh in Q1 FY26—marking our entry into the premium imported beer segment under Globus ANSA India Ltd.

For the Regular and Others segment, Uttar Pradesh remains a core strategic lever with its promising volume and margin profile. State-mandated price increases of ~4% in Rajasthan in April 2024 and 4.35% in April 2025 contributed to sustained value creation amid evolving market dynamics. In Manufacturing, the upcoming distillery in Uttar Pradesh will expand our production base and scale, securing high-quality ENA for our in-house brands and providing a strong foundation to accelerate our Consumer business. Continued support from the revised FCI policy, along with the correction in input costs, will enable better planning and operational efficiency, paving the way for margin improvement and positioning us strongly for the next phase of sustainable growth.

Lastly, we extend our heartfelt gratitude to our shareholders for their trust and continued support. Your confidence in our vision inspires us to stay focused on delivering sustainable value and propelling Globus Spirits toward a future of growth and excellence. We look forward to your continued faith as we move ahead, together.