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Fratelli Vineyards LtdQ4 FY26 earnings call

All quarters

Summary generated by AI from the official transcript Fratelli Vineyards Ltd filed with BSE on 04 Jun 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries

The short read

Fratelli Vineyards reported Q4 FY26 revenue growth of 13% year-on-year and achieved a positive operating EBITDA of INR1.06 crores for the quarter, while full-year FY26 revenue was largely flat due to regulatory disruptions in Maharashtra, Telangana and Uttarakhand. Management said its luxury portfolio, led by brand J'NOON, grew strongly, and its RTD brand Shotgun sold approximately 100,000 cases in its first year across 18 states. Management outlined plans for FY27 including targeted revenue growth of approximately 30%, doubling of the RTD business, and continued expansion of distribution, CSD channel presence and exports.

Numbers mentioned

Revenue growth: 13% year-on-year (Q4 FY26)

p. 3
we closed FY '26 on a strong note with a growth of 13% year-on-year in quarter 4

Gaurav Sekhri, page 3 of the filed PDF · View the filing

EBITDA: INR1.06 crores (Q4 FY26)

p. 3
We achieved breakeven at the operating profit level, reporting a positive EBITDA of INR1.06 crores

Gaurav Sekhri, page 3 of the filed PDF · View the filing

Premium & Above portfolio contribution to revenue: more than 70% (FY26)

p. 3
our Premium & Above portfolio continued to contribute more than 70% of our overall revenue during FY '26

Gaurav Sekhri, page 3 of the filed PDF · View the filing

Luxury category sales growth: 15% year-on-year (FY26)

p. 4
Our sales in luxury category grew 15% year-on-year in FY '26, led by strong performance of our flagship brand, J'NOON, which grew at an enviable 44% during the year

Gaurav Sekhri, page 4 of the filed PDF · View the filing

Premium portfolio revenue: declined 16% year-on-year (FY26)

p. 4
Within our premium portfolio, revenue declined 16% year-on-year, primarily due to regulatory disruptions across Maharashtra, Telangana, Uttarakhand and Delhi

Gaurav Sekhri, page 4 of the filed PDF · View the filing

RTD Shotgun cases sold: approximately 100,000 cases (FY26 (year 1))

p. 4
In the very first year, the brand has sold approximately 100,000 cases and established its presence across 18 states, underlining the growing consumer acceptance of this category

Gaurav Sekhri, page 4 of the filed PDF · View the filing

RTD distribution outlets: approximately 9,000 outlets (FY26)

p. 4
Our distribution footprint for the RTD category expanded to approximately 9,000 outlets across the country, including 2,000 new outlets were added during the year

Gaurav Sekhri, page 4 of the filed PDF · View the filing

Net revenue from operations: INR36 crores (Q4 FY26)

p. 5
net revenue from operations increasing to INR36 crores in Q4 FY26 from INR32 crores in Q4 FY25, representing a growth of approximately 13% year-on-year

Aditya Sekhri, page 5 of the filed PDF · View the filing

Gross profit: INR29 crores (Q4 FY26)

p. 5
Gross profit for the quarter stood at INR29 crores, compared to INR23 crores in the corresponding period last year

Aditya Sekhri, page 5 of the filed PDF · View the filing

Gross margin: 79% (Q4 FY26)

p. 5
gross margins improved to 79% versus 73% in the same period

Aditya Sekhri, page 5 of the filed PDF · View the filing

EBITDA loss: INR3.7 crores (Q4 FY26)

p. 5
At the operating level, EBITDA loss reduced significantly to INR3.7 crores, compared to a loss of INR7 crores in Q4 FY25

Aditya Sekhri, page 5 of the filed PDF · View the filing

Net revenue from operations: INR184 crores (FY26)

p. 6
Net revenue from operations stood at INR184 crores in FY26 compared to INR181 crores in FY25, representing growth of approximately 1% year-on-year

Aditya Sekhri, page 6 of the filed PDF · View the filing

EBITDA: INR1 crores (FY26)

p. 6
EBITDA improved marginally to INR1 crores in FY26, reflecting the benefits of improved operational efficiencies

Aditya Sekhri, page 6 of the filed PDF · View the filing

Capex completed: approximately INR10 crores (FY26)

p. 6
During FY26, we completed approximately INR10 crores of capex across Vineyard infrastructure, plant and machinery and other operational infrastructure

Aditya Sekhri, page 6 of the filed PDF · View the filing

RTD segment revenue contribution: roughly INR18 crores (FY26)

p. 8
The RTD segment was roughly about INR18 crores in our overall top line

Aditya Sekhri, page 8 of the filed PDF · View the filing

Premium market share: 30%

p. 8
So our market share currently is 30% on the premium side. If you just look at the luxury market share, then our market share is more than 50%

Aditya Sekhri, page 8 of the filed PDF · View the filing

HoReCa market share: close to 40%

p. 10
Aditya here, our market share in the HoReCa business is close to 40%

Aditya Sekhri, page 10 of the filed PDF · View the filing

CSD market share: approximately 45%

p. 13
So, our market share in CSD is approximately 45%, and has been one of the strongest growth engines for the company post-COVID

Aditya Sekhri, page 13 of the filed PDF · View the filing

Wine-in-a-Can market share: more than 90%

p. 13
In the Wine-in-a-Can segment, even in the civil markets, we are market leaders and have approximately more than 90% market share in the Wine-in-a-Can segment in India

Aditya Sekhri, page 13 of the filed PDF · View the filing

CSD contribution to revenue: about 8%

p. 13
It already contributes about 8% of our overall revenues, and I see this number only growing going forward

Aditya Sekhri, page 13 of the filed PDF · View the filing

Sales and marketing team size: close to 200 people

p. 14
We are close to 200 people directly involved in sales as well as marketing

Gaurav Sekhri, page 14 of the filed PDF · View the filing

What management said it would do

A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.

Revenue growth — approximately 30% · FY27

stated firmly by Aditya Sekhri

p. 7
our plan and our guidance for this financial year of FY27 is to deliver a growth of approximately 30%

Aditya Sekhri, page 7 of the filed PDF · View the filing

PAT breakeven — net-net breakeven at approximately INR240 crores revenue · FY27

stated conditionally by Aditya Sekhri

p. 7
With that in line, and as I mentioned, with the operating efficiencies coming into play, we believe PAT breakeven will be achieved

Aditya Sekhri, page 7 of the filed PDF · View the filing

RTD case volumes — cross 200,000 cases · FY27

stated firmly by Gaurav Sekhri

p. 8
our expectation is that in the year 2, which is FY27, we will double this business to cross 200,000 cases

Gaurav Sekhri, page 8 of the filed PDF · View the filing

Exports as % of revenue — 5% of total revenue · FY27 onwards

stated firmly by Gaurav Sekhri

p. 4
We expect 5% of total revenue to come from exports from FY '27 onwards

Gaurav Sekhri, page 4 of the filed PDF · View the filing

Capex — INR9 crores · FY27

stated firmly by Aditya Sekhri

p. 6
For FY27, we have, however, earmarked approximately INR9 crores towards routine and strategic capex requirements

Aditya Sekhri, page 6 of the filed PDF · View the filing

Capex — between INR6 crores to INR10 crores · FY27

stated firmly by Gaurav Sekhri

p. 9
our expectation is our capex in FY27 will be between INR6 crores to INR10 crores

Gaurav Sekhri, page 9 of the filed PDF · View the filing

Hospitality project investment — INR70 crores to INR80 crores

stated as an aspiration by Aditya Sekhri

p. 6
our hospitality project remains in the planning stage with an estimated investment of INR70 crores to INR80 crores

Aditya Sekhri, page 6 of the filed PDF · View the filing

Hospitality project timeline — calendar year '27-'28

stated conditionally by Gaurav Sekhri

p. 9
we have, for the time being, just deferred the hospitality plan by about a year and we will review it maybe in H2 this year and possibly take some definitive steps to action and initiate it in calendar year '27- '28

Gaurav Sekhri, page 9 of the filed PDF · View the filing

Shotgun outlet reach — above 15,000 outlets · H2

stated as an aspiration by Aditya Sekhri

p. 10
we see this number ideally going above 15,000 by close to H2

Aditya Sekhri, page 10 of the filed PDF · View the filing

Gross margin — between 76% to 80% · next few years

stated as an aspiration by Aditya Sekhri

p. 11
I believe our overall gross margins will be between 76% to 80%

Aditya Sekhri, page 11 of the filed PDF · View the filing

Marketing spend for Shotgun — a little more than 10% of its overall top line · this year

stated firmly by Aditya Sekhri

p. 11
we expect this year as well for Shotgun to be a little more than 10% of its overall top line because the base is big and we see a lot of potential in it

Aditya Sekhri, page 11 of the filed PDF · View the filing

Fratelli Brut expansion — available in 14 more states · FY27

stated firmly by Gaurav Sekhri

p. 4
During FY '27, it will be made available in 14 more states

Gaurav Sekhri, page 4 of the filed PDF · View the filing

Sette 15th anniversary edition expansion — 7 more states · FY27

stated firmly by Gaurav Sekhri

p. 4
Going forward, we will target expansion into 7 more states in FY '27, including Delhi, Haryana, Uttar Pradesh, West Bengal, Tamil Nadu, Karnataka and Maharashtra

Gaurav Sekhri, page 4 of the filed PDF · View the filing

Shotgun launch in new states — Chhattisgarh, Karnataka, Telangana · H1 FY27

stated firmly by Gaurav Sekhri

p. 4
we are targeting to launch Shotgun in Chhattisgarh, Karnataka, Telangana during H1 FY '27

Gaurav Sekhri, page 4 of the filed PDF · View the filing

Q&A highlights

Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.

Management said FY27 guidance is approximately 30% growth, with PAT breakeven expected as operating efficiencies come into play.

Answered by Aditya Sekhri

Asked by Deepesh Sancheti: What is the roadmap for PAT profitability and key milestones?

p. 7
our plan and our guidance for this financial year of FY27 is to deliver a growth of approximately 30%. With that in line, and as I mentioned, with the operating efficiencies coming into play, we believe PAT breakeven will be achieved

Aditya Sekhri, page 7 of the filed PDF · View the filing

Management sized the RTD wine market between INR500-600 crores, growing about 25% year-on-year.

Answered by Aditya Sekhri

Asked by Deepesh Sancheti: How large is the RTD/wine-in-a-can addressable market and how is consumer adoption evolving?

p. 7
So the RTD market with respect to wine is approximately between INR500 crores to INR600 crores. It is one of the fastest-growing segments across any alcobev category at the moment with a growth of about 25% year-on-year

Aditya Sekhri, page 7 of the filed PDF · View the filing

Management said the impact would be limited to the above-INR2,000 MRP portfolio, which is a small share of revenue.

Answered by Aditya Sekhri

Asked by Deepesh Sancheti: How will FTA-driven competition from foreign winemakers affect the wine segment?

p. 7
On the wine segment, more than 90% of our revenues are comprised of products which are less than INR2,000 MRP. The impact which will come will be on our wines or part of our portfolio, which is above INR2,000

Aditya Sekhri, page 7 of the filed PDF · View the filing

Management said market share is 30% in premium and more than 50% in the domestic luxury segment.

Answered by Aditya Sekhri

Asked by Deepesh Sancheti: What is the company's market share in premium and luxury wine?

p. 8
In the domestic luxury wine market, Fratelli's market share is more than 50%

Aditya Sekhri, page 8 of the filed PDF · View the filing

Management attributed margin improvement to operating leverage from scale in the wine and RTD business rather than hospitality.

Answered by Gaurav Sekhri

Asked by Chetan: Which cost lines will drive EBITDA margin improvement toward the 20% target?

p. 10
Our costs are now well established for growth of business by even if we double the business from current levels, we don't need to do any major change in our cost structure

Gaurav Sekhri, page 10 of the filed PDF · View the filing

Management expects Shotgun's outlet reach to rise from 9,000 towards above 15,000 by H2.

Answered by Aditya Sekhri

Asked by Chetan: What is the outlet reach target for Shotgun?

p. 10
Therefore, we see this number ideally going above 15,000 by close to H2

Aditya Sekhri, page 10 of the filed PDF · View the filing

Management said the margin trajectory remains positive as growth is outpacing in higher-margin luxury and super premium segments.

Answered by Aditya Sekhri

Asked by Love Gupta: How will FTA impact on luxury wine affect margin trajectory?

p. 11
The margin trajectory looks positive because our growth, in fact, in the super premium and the luxury segment have outpaced the growth in the premium segment

Aditya Sekhri, page 11 of the filed PDF · View the filing

Management clarified breakeven happens at approximately INR240 crores annual revenue, targeted for FY27.

Answered by Gaurav Sekhri

Asked by Marutinandan Sarda: Is a top line of INR50 crores per quarter with 80% GP the breakeven point at PAT level?

p. 12
we achieve a net-net breakeven at around INR240 crores. And that is very much possible because we are at INR185 crores in this financial year

Gaurav Sekhri, page 12 of the filed PDF · View the filing

Management attributed the modest growth to regulatory disruptions in H1, particularly affecting the premium segment.

Answered by Aditya Sekhri

Asked by Reena Shah: What drove the modest FY26 revenue growth across segments?

p. 12
for FY26, a large part of, the modest growth was led due to the regulatory disruptions, which happened in H1 of the year

Aditya Sekhri, page 12 of the filed PDF · View the filing

Management said CSD contributes about 8% of revenue currently and expects it to grow with new brand rollouts.

Answered by Aditya Sekhri

Asked by DVM Teja: What is CSD's expected contribution to total revenue going forward?

p. 13
CSD will become another great growth driver for us

Aditya Sekhri, page 13 of the filed PDF · View the filing

Management said no major impact is currently visible and it will monitor implementation over the coming year.

Answered by Gaurav Sekhri

Asked by DVM Teja: Will the India-EU FTA create a structural shift or better profitability?

p. 14
As of now, I don't see any major impact either in terms of pricing or in terms of volume in the foreseeable future

Gaurav Sekhri, page 14 of the filed PDF · View the filing

Management said discounting has remained consistent over the last 2-3 years and they are working to reduce it.

Answered by Gaurav Sekhri

Asked by Ishita Mitra: What trends are being seen in discounting and pricing across the industry?

p. 14
Our schemes and discounts, as we call them, have remained fairly consistent year-on-year over the last 2 to 3 years

Gaurav Sekhri, page 14 of the filed PDF · View the filing

Management pointed to premiumization, product innovation, the RTD segment, and expanded distribution as growth drivers.

Answered by Gaurav Sekhri

Asked by Preeti Shah: What growth drivers support the long-term INR500 crore revenue aspiration by 2030?

p. 15
Our growth drivers are our focus on premiumization, our new product innovation and launches, RTD segment, which is a whole new category

Gaurav Sekhri, page 15 of the filed PDF · View the filing

Management said no major capex is expected beyond hospitality, and external capital tools would be explored if a compelling opportunity arises.

Answered by Gaurav Sekhri

Asked by Preeti Shah: How will future capex and growth investments be financed?

p. 15
if the company does require and sees a compelling opportunity being a listed entity, we have many tools available to us, which we will explore at that point of time

Gaurav Sekhri, page 15 of the filed PDF · View the filing

Risks flagged

Regulatory disruptions in key markets affecting revenue growth

p. 3
For the full year FY '26, revenue remained largely flat owing to regulatory disruptions in key markets such as Maharashtra and Telangana, as well as excise policy changes introduced during the first half of FY '26

Gaurav Sekhri, page 3 of the filed PDF · View the filing

Potential impact from adverse weather conditions on vineyards

p. 9
If there is some extreme weather condition, then, of course, we will get impacted as well

Gaurav Sekhri, page 9 of the filed PDF · View the filing

Excessive rainfall increasing costs and disease management burden

p. 9
But last year, the excessive rainfall we had, we dealt with it quite effectively. Of course, it had some impact on higher cost and better management for disease management

Gaurav Sekhri, page 9 of the filed PDF · View the filing

Potential FTA impact on the above-INR2,000 luxury wine segment

p. 7
The impact which will come will be on our wines or part of our portfolio, which is above INR2,000

Aditya Sekhri, page 7 of the filed PDF · View the filing

Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.