Ticker: BSE: 507205 / NSE: TI
Sector: Alcoholic Beverages (IMFL)
Market Cap: ~₹4,500–5,000 Cr (mid‑2025, approximate)
Key Brands: Mansion House Brandy, Courrier Napoleon Brandy, Monarch Legacy, White House Rum

1. Company Overview & Brand Credentials

Tilaknagar Industries is best known for its flagship Mansion House Brandy, which was India’s largest-selling brandy and ranked second-largest selling brandy globally for FY2023.—Drinks International Millionaires’ Club report June 2024.

Its Courrier Napoleon Brandy also emerged as the second-fastest growing brandy globally and third-fastest growing spirit overall, with sales reaching ~1.6 million cases in 2023.

2. Q4 FY25 & FY25 Full-Year Financial Highlights

Q4 FY25 (Quarter ending March 31, 2025):

• Revenue jumped 13.1% to ₹405.8 Cr vs ₹358.8 Cr in Q4 FY24

• Net profit soared 95.7% to ₹77.3 Cr vs ₹31.5 Cr

• EBITDA rose ~62.5% to ₹78.5 Cr, with margin expansion to ~19.3% (vs 13.5%)

Full-year FY25 vs FY24:

• Revenue modestly up by ~2.9% to ₹1,434 Cr from ₹1,394 Cr

• EBITDA climbed 37.4% to ₹255 Cr

• PAT jumped 62.9% to ₹230 Cr from ₹141 Cr

• Net cash position (excess cash over debt): ₹107 Cr as on Mar 31, 2025

Quarterly Trend (FY25):

• Q1 FY25 net profit: ₹40.1 Cr (+55.7% YoY), revenue ~₹664.9 Cr

• Q2 FY25 net profit: ₹58.2 Cr (+57.2% YoY), revenue ₹823.3 Cr (+9.7%)

• Q3 FY25 likely saw continued growth; Q4 delivered a strong close with ~95.7% YoY profit jump

3. Strategic Wins & Market Leadership

• Mansion House Brandy is the world’s No. 2 and India’s largest-selling brandy as of FY2023.

• Courrier Napoleon is also a 'millionaire brand' internationally with strong growth dynamics.

• Rum portfolio also showing punch: White House XXX Rum reportedly grew 110% YoY in Kerala and captures ~48% market share there (source dated 2014, relevance may be limited now)

4. Growth Strategy & Expansion Moves

• In Nov 2024, Tilaknagar launched Monarch Legacy Edition, targeting a premium ladder in brandy, starting from Maharashtra with rollouts planned in southern markets. It achieved export pre‑orders in SE Asia, Africa, and Middle East.

• In June 2025, reports confirmed TIL as the front-runner to acquire Imperial Blue whisky from Pernod Ricard in a deal potentially worth $600 million (~₹51,000 Cr), marking a strategic move into the whisky segment.

5. Market Position & Regulatory Trends

• Post-July 2025 excise reform in Andhra Pradesh, Tilaknagar’s market share in AP improved from ~8.2% to ~11.4%, reflecting better visibility amidst fairer allotment systems; national peers Radico and United Spirits gained share as well.

6. Key Business Drivers

7. Risks & Scenarios

• Regulatory risk: Changes in excise policies (AP, TN) can impact volumes; while reforms helped national players regain share, premium brands remain vulnerable if allocation systems shift again.

• Whisky acquisition uncertainty: High valuation (~₹51,000 Cr) could strain balance sheet if deal executes.

• Geographic concentration: ~80–90% revenue from limited states—any disruption in these markets could affect results.

• Raw‑material volatility: ENA price spikes may compress margins—though cost initiatives are in place.

8. Peer Position & Valuation Metrics

Tilaknagar sits in the niche of pure-play brandy—unlike peers such as Radico Khaitan (whisky, vodka), United Spirits (premium whisky). Comparisons (as of FY25):

Tilaknagar trades at a moderate valuation, justified by accelerating profit growth and cash-rich position.

9. Investment Thesis: Why TIL Still Matters

• Demonstrated earnings acceleration: FY25 net profit ₹230 Cr (↑63% YoY) on modest revenue growth.

• Strong brand performance and operational leverage boosted margins and cash flows.

• Balance-sheet turned net cash, enabling strategic expansions like the whisky deal and premium launches.

• Increasing coverage by global brands in southern markets: Tilaknagar has reclaimed and strengthened its footing.

10. Outlook & Path Ahead

• Short term (FY26): Continued margin expansion, volume growth in existing southern states, early impact from premium launches like Monarch Legacy.

• Medium term (FY27–FY30): Successful acquisition of Imperial Blue could position TIL as a multi-segment alco-bev player. Exports from luxury brandy lines may accelerate international growth.

• Catalysts: Premiumization, geographic diversification, potential M&A deal closure, new product formats.

✅ Final Verdict

Tilaknagar Industries has transformed into a profitable, cash-rich brandy leader with global recognition. While execution of the whisky acquisition and distribution changes present both opportunity and risk, the core business remains robust. With disciplined cost management and a clear expansion roadmap, TIL offers a compelling value and growth proposition in India’s liquor sector.