Don’t Trade in the Dark—Get Your Pre-Market Report Every Day.Join Now
Search stocks
Globus Spirits Ltd

| Quarterly Results Q2 FY-2025-2026

BULLISH SENTIMENT

Report Source

⬤12th Nov 25

Summary : Globus Spirits reported strong Q2/H1 2025 results, driven by strategic diversification into the high-growth beer segment, while managing ongoing tax appeals.

Quarterly Report Analysis & Insights

Financial Disclosures

  1. Cost of materials consumed (Standalone Q2: 45,873.66 lacs, H1: 92,823.90 lacs).
  2. Excise duty (Standalone Q2: 21,003.13 lacs, H1: 46,094.76 lacs).
  3. Employee benefits expense (Standalone Q2: 2,568.38 lacs, H1: 5,388.86 lacs).
  4. Finance costs (Standalone Q2: 1,370.82 lacs, H1: 2,833.71 lacs).
  5. Depreciation and amortisation expense (Standalone Q2: 2,222.26 lacs, H1: 4,384.41 lacs).
  6. Revenue from operations (Standalone Q2: 87,063.80 lacs, H1: 1,82,057.17 lacs).
  7. Revenue from operations (Consolidated Q2: 87,178.41 lacs, H1: 1,82,333.60 lacs).
  8. Segment revenue: Manufacturing and Consumer (including excise duty).
  9. Net cash flow from operating activities (Standalone H1: 27,013.60 lacs).
  10. Net cash flow from operating activities (Consolidated H1: 26,823.21 lacs).
  11. Net cash used in investing activities (Standalone H1: (14,855.40) lacs).
  12. Net cash used in investing activities (Consolidated H1: (14,711.57) lacs).
  13. Net cash (used in)/generated from financing activities (Standalone H1: (10,617.05) lacs).
  14. Net cash (used in)/generated from financing activities (Consolidated H1: (10,617.04) lacs).
  15. Income tax demand of 4,093.82 lacs under appeal, no provision made.
  16. Total Assets (Standalone Sep 30, 2025: 2,17,711.53 lacs).
  17. Total Assets (Consolidated Sep 30, 2025: 2,17,205.09 lacs).
  18. Property, plant and equipment (Standalone Sep 30, 2025: 1,01,081.17 lacs).
  19. Trade receivables (Standalone Sep 30, 2025: 36,445.82 lacs).
  20. Cash and cash equivalents (Standalone Sep 30, 2025: 1,714.92 lacs).
  21. Total Equity (Standalone Sep 30, 2025: 1,03,585.89 lacs).
  22. Borrowings (Non-current Sep 30, 2025: 20,127.52 lacs; Current Sep 30, 2025: 25,146.00 lacs).
  23. Both standalone and consolidated financial results are presented.
  24. Auditors performed limited review on both standalone and consolidated results.

Corporate Overview

  1. Income Tax Department search and seizure operation.
  2. Assessment orders disallowing certain expenses.
  3. Manufacturing and consumer segments.
  4. Foray into the high-growth beer segment.
  5. Strategic portfolio diversification.
  6. Factual and confident regarding legal outcomes.
  7. Tapping into high growth consumer categories.
  8. Manufacturing
  9. Consumer (including excise duty)
  10. Investment in a strategic joint venture for beer segment.

Risk Factors

  1. Uncertainty from ongoing income tax appeals.
  2. Reliance on other auditors' subsidiary reports.
  3. Joint venture results unreviewed by auditors.
  4. Potential for adverse tax appeal outcomes.

Key Drivers

  1. Strong profit growth in Q2/H1 2025.
  2. Strategic entry into high-growth beer segment.
  3. Portfolio diversification for future growth.
  4. Favorable income tax order received.

Auditor’s Report

  1. Limited Review Conclusion; no audit opinion expressed.
  2. Income tax search and seizure operation and assessment orders.
  3. Income tax search and seizure operation and subsequent appeals.
  4. Reliance on other auditor's report for a subsidiary.
  5. Reliance on management certified results for a joint venture.

Board Commentary

  1. Income tax assessment orders and appeals.
  2. Income tax search and seizure operation.
  3. Assessment orders received for past 10 assessment years.
  4. Appeals filed against disallowances under IT Act.
  5. Favourable Income-tax order for AY 2012-2013 received.
  6. Allotment of 77,409 equity shares under ESOP 2021.
  7. Investment of 99.84 lacs into a strategic joint venture.

Corporate Governance

  1. Audit Committee reviewed financial results.

Management Discussion & Analysis

Future Strategy

  1. Portfolio diversification.
  2. Foray into the beer segment.

Industry Overview

  1. Tapping into high growth consumer categories.

Performance Drivers

  1. Strong profit growth in Q2 and H1 2025.

Risk Control Measures

  1. Management believes appeals will succeed based on legal opinion.
  2. No provision made for potential tax liabilities.

Critical Risks

  1. Uncertainty regarding income tax assessment orders and appeals.