Shares of Sula Vineyards declined over 2% in early trade after the company reported a weak set of consolidated Q3 results, marked by a sharp drop in revenue, profitability, and margins on a year-on-year basis. The stock reacted negatively as investors assessed the impact of lower operating performance during the quarter.
Sula Vineyards Q3 Results
For the third quarter, Sula Vineyards reported consolidated revenue of Rs 180 crore, down 9.9% compared with Rs 200 crore in the same period last year. EBITDA fell sharply by 39.8% to Rs 32 crore from Rs 53.1 crore, reflecting pressure on operating efficiency. The EBITDA margin contracted significantly by 880 basis points to 17.7%, compared with 26.5% in the corresponding quarter last year.
Net profit witnessed a steep decline of 67.6% year-on-year, coming in at Rs 9.1 crore versus Rs 28.1 crore reported in Q3 of the previous financial year. The sharp fall in profit highlighted the combined effect of lower revenues and margin compression during the quarter.
Stock Price Reaction and Market Performance
Following the announcement of Q3 earnings, Sula Vineyards shares traded lower, slipping more than 2% intraday. The stock touched a day’s low of Rs 179.20 and a high of Rs 184.39. It opened at Rs 180.53, compared with a previous close of Rs 188.15, indicating a clear negative reaction from the market.
On a broader timeline, the stock remains significantly below its 52-week high of Rs 355.25, while trading close to its 52-week low of Rs 175.31.