India: United Breweries reports 27% rise in first-quarter profit

India’s United Breweries reported a 27% rise in its first-quarter profit on July 25, as sales of chilled beer spiked during summer.

The company’s profit rose to 1.73 billion rupees ($20.7 million) in the April-June quarter compared with 1.36 billion rupees a year ago.

Sales volume rose 5% while revenue surged 11% to 58.09 billion rupees, led by a 44% growth in its premium segment, which includes the Kingfisher Ultra and Kingfisher Ultra Max brands, the company said.

India’s alcohol and beverage industry has been seeing steady volume growth, specially in the premium category, driven by evolving lifestyles and higher disposable incomes.

Scorching summers have been a boon for beer sales while stable barley prices and easing bottling and packaging costs have boosted profitability.