Varun Beverages Ltd: Intrinsic Value & Share Price Analysis

Share Price and Basic Stock Data

Last Updated: August 14, 2025, 8:01 pm

Quick Insight

Varun Beverages Ltd, a key player in the non-alcoholic beverages sector, currently trades at a price of 511 with a market capitalization of 1,72,766 Cr. The company exhibits a high P/E ratio of 60.7, indicating potentially overvalued stock, while maintaining robust returns on equity (ROE) at 22.5% and returns on capital employed (ROCE) at 24.8%. Operating profit margin (OPM) stands at a healthy 28%, with a net profit of 2,634 Cr. Varun Beverages' balance sheet reveals a significant shareholder base of 5,09,607 individuals, with strong promoter holding of 62.67%. However, the company carries substantial borrowings amounting to ₹2,138 Cr, which could pose risks in the current economic landscape. With a price-to-book value (P/BV) ratio of 23.16x and an interest coverage ratio (ICR) of 13.76x, investors should carefully monitor the company's leverage and valuation metrics to make informed investment decisions in this dynamic industry.

Competitors of Varun Beverages Ltd

All Competitor Stocks of Varun Beverages Ltd

Quarterly Result

Last Updated: August 2, 2025, 1:05 am

Below is a detailed analysis of the quarterly data for Varun Beverages Ltd based on the most recent figures (Jun 2025) and their trends compared to the previous period:

• For Sales, as of Jun 2025, the value is 7,017.00 Cr.. The value appears strong and on an upward trend. It has increased from 5,567.00 Cr. (Mar 2025) to 7,017.00 Cr., marking an increase of 1,450.00 Cr..
• For Expenses, as of Jun 2025, the value is 5,020.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 4,304.00 Cr. (Mar 2025) to 5,020.00 Cr., marking an increase of 716.00 Cr..
• For Operating Profit, as of Jun 2025, the value is 1,998.00 Cr.. The value appears strong and on an upward trend. It has increased from 1,263.00 Cr. (Mar 2025) to 1,998.00 Cr., marking an increase of 735.00 Cr..
• For OPM %, as of Jun 2025, the value is 28.00%. The value appears strong and on an upward trend. It has increased from 23.00% (Mar 2025) to 28.00%, marking an increase of 5.00%.
• For Other Income, as of Jun 2025, the value is 77.00 Cr.. The value appears strong and on an upward trend. It has increased from 28.00 Cr. (Mar 2025) to 77.00 Cr., marking an increase of 49.00 Cr..
• For Interest, as of Jun 2025, the value is 37.00 Cr.. The value appears to be improving (decreasing) as expected. It has decreased from 41.00 Cr. (Mar 2025) to 37.00 Cr., marking a decrease of 4.00 Cr..
• For Depreciation, as of Jun 2025, the value is 306.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 273.00 Cr. (Mar 2025) to 306.00 Cr., marking an increase of 33.00 Cr..
• For Profit before tax, as of Jun 2025, the value is 1,732.00 Cr.. The value appears strong and on an upward trend. It has increased from 978.00 Cr. (Mar 2025) to 1,732.00 Cr., marking an increase of 754.00 Cr..
• For Tax %, as of Jun 2025, the value is 23.00%. The value appears to be improving (decreasing) as expected. It has decreased from 25.00% (Mar 2025) to 23.00%, marking a decrease of 2.00%.
• For Net Profit, as of Jun 2025, the value is 1,325.00 Cr.. The value appears strong and on an upward trend. It has increased from 731.00 Cr. (Mar 2025) to 1,325.00 Cr., marking an increase of 594.00 Cr..
• For EPS in Rs, as of Jun 2025, the value is 3.89. The value appears strong and on an upward trend. It has increased from 2.15 (Mar 2025) to 3.89, marking an increase of 1.74.

Overall, while many items appear to show a positive trend, any significant downward movement warrant further investigation.

Profit & Loss - Annual Report

Last Updated: June 16, 2025, 10:52 pm

Growth

Last Updated: Unknown

Balance Sheet

Last Updated: August 11, 2025, 4:21 pm

Below is a detailed analysis of the balance sheet data for Varun Beverages Ltd based on the most recent figures (Jun 2025) and their trends compared to the previous period:

• For Equity Capital, as of Jun 2025, the value is 676.00 Cr.. The value remains steady. There is no change compared to the previous period (Dec 2024) which recorded 676.00 Cr..
• For Reserves, as of Jun 2025, the value is 17,687.00 Cr.. The value appears strong and on an upward trend. It has increased from 15,934.00 Cr. (Dec 2024) to 17,687.00 Cr., marking an increase of 1,753.00 Cr..
• For Borrowings, as of Jun 2025, the value is 2,138.00 Cr.. The value appears to be improving (decreasing). Additionally, since Reserves exceed Borrowings, this is considered a positive sign. It has decreased from 2,826.00 Cr. (Dec 2024) to 2,138.00 Cr., marking a decrease of 688.00 Cr..
• For Other Liabilities, as of Jun 2025, the value is 4,214.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 3,688.00 Cr. (Dec 2024) to 4,214.00 Cr., marking an increase of 526.00 Cr..
• For Total Liabilities, as of Jun 2025, the value is 24,716.00 Cr.. The value appears to be increasing, which may not be favorable. It has increased from 23,124.00 Cr. (Dec 2024) to 24,716.00 Cr., marking an increase of 1,592.00 Cr..
• For Fixed Assets, as of Jun 2025, the value is 15,639.00 Cr.. The value appears strong and on an upward trend. It has increased from 13,402.00 Cr. (Dec 2024) to 15,639.00 Cr., marking an increase of 2,237.00 Cr..
• For CWIP, as of Jun 2025, the value is 591.00 Cr.. The value appears to be declining and may need further review. It has decreased from 1,167.00 Cr. (Dec 2024) to 591.00 Cr., marking a decrease of 576.00 Cr..
• For Investments, as of Jun 2025, the value is 135.00 Cr.. The value appears strong and on an upward trend. It has increased from 60.00 Cr. (Dec 2024) to 135.00 Cr., marking an increase of 75.00 Cr..
• For Other Assets, as of Jun 2025, the value is 8,351.00 Cr.. The value appears to be declining and may need further review. It has decreased from 8,496.00 Cr. (Dec 2024) to 8,351.00 Cr., marking a decrease of 145.00 Cr..
• For Total Assets, as of Jun 2025, the value is 24,716.00 Cr.. The value appears strong and on an upward trend. It has increased from 23,124.00 Cr. (Dec 2024) to 24,716.00 Cr., marking an increase of 1,592.00 Cr..

Notably, the Reserves (17,687.00 Cr.) exceed the Borrowings (2,138.00 Cr.), indicating a solid financial buffer.

Overall, while many items appear to show a positive trend, any significant downward movement or items where Borrowings exceed Reserves warrant further investigation.

Cash Flow

Free Cash Flow

Financial Efficiency Indicators

Share Holding Pattern

Mutual Fund Holdings

Key Financial Ratios

After reviewing the key financial ratios for Varun Beverages Ltd, here is a detailed analysis based on the latest available data and recent trends:

• For FaceValue, as of Dec 23, the value is 5.00. This value is within the healthy range. It has decreased from 10.00 (Dec 22) to 5.00, marking a decrease of 5.00.
• For Basic EPS (Rs.), as of Dec 23, the value is 15.83. This value is within the healthy range. It has decreased from 23.05 (Dec 22) to 15.83, marking a decrease of 7.22.
• For Diluted EPS (Rs.), as of Dec 23, the value is 15.82. This value is within the healthy range. It has decreased from 23.05 (Dec 22) to 15.82, marking a decrease of 7.23.
• For Cash EPS (Rs.), as of Dec 23, the value is 21.42. This value is within the healthy range. It has decreased from 33.37 (Dec 22) to 21.42, marking a decrease of 11.95.
• For Book Value[Excl.RevalReserv]/Share (Rs.), as of Dec 23, the value is 54.53. It has decreased from 80.29 (Dec 22) to 54.53, marking a decrease of 25.76.
• For Book Value[Incl.RevalReserv]/Share (Rs.), as of Dec 23, the value is 54.53. It has decreased from 80.29 (Dec 22) to 54.53, marking a decrease of 25.76.
• For Revenue From Operations / Share (Rs.), as of Dec 23, the value is 123.48. It has decreased from 202.80 (Dec 22) to 123.48, marking a decrease of 79.32.
• For PBDIT / Share (Rs.), as of Dec 23, the value is 28.39. This value is within the healthy range. It has decreased from 43.52 (Dec 22) to 28.39, marking a decrease of 15.13.
• For PBIT / Share (Rs.), as of Dec 23, the value is 23.15. This value is within the healthy range. It has decreased from 34.02 (Dec 22) to 23.15, marking a decrease of 10.87.
• For PBT / Share (Rs.), as of Dec 23, the value is 21.09. This value is within the healthy range. It has decreased from 31.15 (Dec 22) to 21.09, marking a decrease of 10.06.
• For Net Profit / Share (Rs.), as of Dec 23, the value is 16.18. This value is within the healthy range. It has decreased from 23.86 (Dec 22) to 16.18, marking a decrease of 7.68.
• For NP After MI And SOA / Share (Rs.), as of Dec 23, the value is 15.82. This value is within the healthy range. It has decreased from 23.05 (Dec 22) to 15.82, marking a decrease of 7.23.
• For PBDIT Margin (%), as of Dec 23, the value is 22.99. This value is within the healthy range. It has increased from 21.45 (Dec 22) to 22.99, marking an increase of 1.54.
• For PBIT Margin (%), as of Dec 23, the value is 18.74. This value is within the healthy range. It has increased from 16.77 (Dec 22) to 18.74, marking an increase of 1.97.
• For PBT Margin (%), as of Dec 23, the value is 17.07. This value is within the healthy range. It has increased from 15.36 (Dec 22) to 17.07, marking an increase of 1.71.
• For Net Profit Margin (%), as of Dec 23, the value is 13.10. This value exceeds the healthy maximum of 10. It has increased from 11.76 (Dec 22) to 13.10, marking an increase of 1.34.
• For NP After MI And SOA Margin (%), as of Dec 23, the value is 12.81. This value is within the healthy range. It has increased from 11.36 (Dec 22) to 12.81, marking an increase of 1.45.
• For Return on Networth / Equity (%), as of Dec 23, the value is 29.64. This value is within the healthy range. It has increased from 29.34 (Dec 22) to 29.64, marking an increase of 0.30.
• For Return on Capital Employeed (%), as of Dec 23, the value is 27.26. This value is within the healthy range. It has decreased from 28.88 (Dec 22) to 27.26, marking a decrease of 1.62.
• For Return On Assets (%), as of Dec 23, the value is 13.53. This value is within the healthy range. It has increased from 12.88 (Dec 22) to 13.53, marking an increase of 0.65.
• For Long Term Debt / Equity (X), as of Dec 23, the value is 0.45. This value is within the healthy range. It has increased from 0.33 (Dec 22) to 0.45, marking an increase of 0.12.
• For Total Debt / Equity (X), as of Dec 23, the value is 0.74. This value is within the healthy range. It has increased from 0.72 (Dec 22) to 0.74, marking an increase of 0.02.
• For Asset Turnover Ratio (%), as of Dec 23, the value is 1.20. It has decreased from 1.24 (Dec 22) to 1.20, marking a decrease of 0.04.
• For Current Ratio (X), as of Dec 23, the value is 1.02. This value is below the healthy minimum of 1.5. It has increased from 0.85 (Dec 22) to 1.02, marking an increase of 0.17.
• For Quick Ratio (X), as of Dec 23, the value is 0.50. This value is below the healthy minimum of 1. It has increased from 0.35 (Dec 22) to 0.50, marking an increase of 0.15.
• For Inventory Turnover Ratio (X), as of Dec 23, the value is 3.39. This value is below the healthy minimum of 4. It has decreased from 3.73 (Dec 22) to 3.39, marking a decrease of 0.34.
• For Dividend Payout Ratio (NP) (%), as of Dec 23, the value is 11.05. This value is below the healthy minimum of 20. It has increased from 10.84 (Dec 22) to 11.05, marking an increase of 0.21.
• For Dividend Payout Ratio (CP) (%), as of Dec 23, the value is 8.30. This value is below the healthy minimum of 20. It has increased from 7.67 (Dec 22) to 8.30, marking an increase of 0.63.
• For Earning Retention Ratio (%), as of Dec 23, the value is 88.95. This value exceeds the healthy maximum of 70. It has decreased from 89.16 (Dec 22) to 88.95, marking a decrease of 0.21.
• For Cash Earning Retention Ratio (%), as of Dec 23, the value is 91.70. This value exceeds the healthy maximum of 70. It has decreased from 92.33 (Dec 22) to 91.70, marking a decrease of 0.63.
• For Interest Coverage Ratio (X), as of Dec 23, the value is 13.76. This value is within the healthy range. It has decreased from 15.19 (Dec 22) to 13.76, marking a decrease of 1.43.
• For Interest Coverage Ratio (Post Tax) (X), as of Dec 23, the value is 8.84. This value is within the healthy range. It has decreased from 9.33 (Dec 22) to 8.84, marking a decrease of 0.49.
• For Enterprise Value (Cr.), as of Dec 23, the value is 165,536.99. It has increased from 89,425.64 (Dec 22) to 165,536.99, marking an increase of 76,111.35.
• For EV / Net Operating Revenue (X), as of Dec 23, the value is 10.32. This value exceeds the healthy maximum of 3. It has increased from 6.79 (Dec 22) to 10.32, marking an increase of 3.53.
• For EV / EBITDA (X), as of Dec 23, the value is 44.88. This value exceeds the healthy maximum of 15. It has increased from 31.63 (Dec 22) to 44.88, marking an increase of 13.25.
• For MarketCap / Net Operating Revenue (X), as of Dec 23, the value is 10.01. This value exceeds the healthy maximum of 3. It has increased from 6.52 (Dec 22) to 10.01, marking an increase of 3.49.
• For Retention Ratios (%), as of Dec 23, the value is 88.94. This value exceeds the healthy maximum of 70. It has decreased from 89.15 (Dec 22) to 88.94, marking a decrease of 0.21.
• For Price / BV (X), as of Dec 23, the value is 23.16. This value exceeds the healthy maximum of 3. It has increased from 16.84 (Dec 22) to 23.16, marking an increase of 6.32.
• For Price / Net Operating Revenue (X), as of Dec 23, the value is 10.01. This value exceeds the healthy maximum of 3. It has increased from 6.52 (Dec 22) to 10.01, marking an increase of 3.49.
• For EarningsYield, as of Dec 23, the value is 0.01. This value is below the healthy minimum of 5. There is no change compared to the previous period (Dec 22) which recorded 0.01.

Overall, while many metrics show healthy performance, any figures highlighted in red or significant downward trends warrant further investigation.

Fair Value

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Strength and Weakness