Varun Beverages Ltd has been associated with PepsiCo since the 1990s and is a key player in the beverage industry and one of the largest franchisee of PepsiCo in the world. The company produces and distributes a wide range of carbonated soft drinks, non-carbonated drinks, and packaged water sold under trademarks owned by PepsiCo. Founded in 1991, Varun Beverages is headquartered in Gurgaon, India.
The company operates as a strategic bottling partner for PepsiCo, manufacturing and distributing an extensive portfolio of beverages across multiple categories. PepsiCo brands produced and sold by the company include Pepsi, Seven-up, Mirinda Orange, Mountain Dew, Tropicana Juices, and many more. The company also has its own brands, including Jive, Cooe, Reboost, Creambell, Aquaclear, Refreshh, etc.
With a significant presence in India and expanding international operations, Varun Beverages has established itself as a formidable player in the beverage industry. The company has 14,828 total employees and continues to expand its manufacturing capabilities and geographical footprint.
The company's market capitalization stands at ₹1,54,266 Crore as of July 2025, with revenue of ₹21,257 Crore and profit of ₹2,818 Crore. The financial metrics reflect the company's strong operational performance and market position.
Q4 2024 Performance:
* Net profit climbed to ₹185.1 Crore in Q4 2024 against ₹131.9 Crore in the December 2023 quarter.
* Revenue from operations in Q4 rose 40.3% to ₹3,818 Crore against ₹2,731 Crore in the corresponding period of the previous fiscal.
* EBITDA rose 38.7% in Q4 to ₹580 Crore from ₹418 Crore in the Q4 of previous fiscal.
Q1 2025 Performance:
* The revenue of Varun Beverages for June 2025 is ₹5,594 Crore as compared to the March 2024 revenue of ₹3,733 Crore.
* The net profit for June 2025 is ₹731.36 Crore as compared to the March 2024 net profit of ₹195.64 Crore.
The company has demonstrated consistent growth trajectory with strong revenue expansion and improving profitability metrics across quarters.
Varun Beverages operates across multiple beverage categories, positioning itself as a comprehensive beverage solutions provider. The company produces and distributes a range of carbonated soft drinks (CSDs), as well as a large selection of non-carbonated beverages (NCBs), including packaged drinking water sold under trademarks owned by PepsiCo. PepsiCo CSD brands produced and sold by VBL include Pepsi, Diet Pepsi, Seven-Up, Mirinda Orange, Mirinda Lemon, Mountain Dew, Mountain Dew Ice, Seven-Up Nimbooz Masala Soda, Evervess, Sting, Gatorade, and Slice Fizzy Drinks.
The company has been expanding its manufacturing capabilities with strategic investments in new facilities. In CY24, the company commissioned 3 new greenfield production plants with backward integration in Maharashtra's Supa, Uttar Pradesh's Gorakhpur, and Odisha's Khordha. The company started commercial production of carbonated and juice drinks at its Meghalaya facility on May 28, 2025.
Varun Beverages has been actively pursuing international growth opportunities. The company is progressing well in South Africa as it grew the sales volumes by 12.5% in the very first year of operations. The firm set up and expanded backward integration facilities at the Guwahati plant in India, as well as at plants in Morocco, Zambia, and Zimbabwe in international regions.
The company's stock has experienced volatility in recent periods. The market cap of the firm stood at ₹1.54 lakh Crore as of July 2025. The multibagger stock has clocked negative returns for a period of up to a year. However, the stock rose 190% in three years and gained 633% in five years.
Global brokerage HSBC is bullish on Varun Beverages in the long term. It has a 'Buy' call with a target price of ₹670. The company is driving repeat consumption in urban and rural India and is still one of the best beverage growth opportunities.
The company maintains a consistent dividend policy. Varun Beverages has fixed April 4, 2025, as the record date for the purpose of ascertaining the eligibility of equity shareholders entitled to receive a final dividend of ₹0.50 per equity share of face value of ₹2 each for the financial year ended December 31, 2024. Current dividend yield is 0.22%.
Varun Beverages continues to strengthen its position as a leading beverage company in India and internationally, with robust financial performance, strategic expansion initiatives, and a diversified product portfolio that caters to evolving consumer preferences.
