Are United Spirits latest results good or bad?

United Spirits has reported its financial results for the quarter ending March 2025, showcasing a mixed performance. The company declared a Profit After Tax (PAT) of Rs 801.36 crore, which reflects a year-on-year growth of 30.31%. This indicates a strong performance in terms of overall profitability over the last six months.
However, the results also highlight some challenges. The Profit Before Tax (PBT), excluding other income, was reported at Rs 367.00 crore, which represents a decline of 15.1% compared to the average PBT of Rs 432.25 crore from the previous four quarters. This decline suggests a negative trend in the company's core profitability.

Additionally, United Spirits achieved its highest non-operating income in the last five quarters, amounting to Rs 175.00 crore. While this increase may provide a temporary boost, it raises concerns regarding the sustainability of relying on non-business activities for income.

In terms of quarterly performance, the net sales experienced a decline of 11.71% compared to the previous quarter, while the consolidated net profit showed a growth of 25.67%. The operating profit, excluding other income, also declined by 19.01% compared to the previous quarter. The operating profit margin, excluding other income, saw a slight decrease of 1.37%.

Overall, the financial performance of United Spirits for this quarter reflects a mixed outlook, with notable growth in PAT but concerning declines in PBT and net sales. Furthermore, the company saw an adjustment in its evaluation based on these results.