Globus Spirits Reports Strong Q1 FY27 Growth Amid Ongoing Tax Dispute

Globus Spirits Limited reported robust financial performance for the quarter ended June 30, 2026, marked by strong top-line and bottom-line growth, despite facing higher input costs and an ongoing tax dispute. Key Financial Highlights (Q1 FY27): Revenue: Grew 21.05% YoY to ₹1,151.88 crore (from ₹951.55 crore). Net Profit: Surged nearly 50% YoY to ₹26.48 crore (from ₹17.69 crore). Cost Pressures: Total expenses rose to ₹1,116.44 crore, driven by higher raw material costs (₹509.30 crore) and a significant jump in excise duty (₹363.10 crore). Segment Performance: The Consumer business emerged as the primary earnings driver, posting an EBITDA of ₹42.41 crore, outperforming the Manufacturing division’s EBITDA of ₹36.87 crore. This highlights the growing profitability of the company's branded product portfolio. Key Overhang: Tax Dispute The company is contesting a ₹40.94 crore aggregate tax demand covering three assessment years (stemming from a 2023 Income Tax Department search). Globus Spirits has deposited ₹30.44 crore under protest and filed appeals. Management maintains a strong legal position and has not recognized any provision for this demand. Auditors highlighted the matter but did not modify their review conclusion. Strategic Outlook: Globus Spirits enters the rest of FY27 on a firm footing, with its consumer segment gaining momentum and overall profitability improving. However, investors will continue to monitor the resolution of the legacy tax dispute, which remains the primary contingent risk for the company.