Sula Vineyards: The share of this wine maker company rose by 11% as soon as the market opened, may become a rocket in the coming days! – Sula Vineyards stock jumps 11 percent coule benefit from global consumer shift
The company’s own brand and wine tourism business achieved record revenue in the March quarter. Wine tourism grew by 18 per cent during this period, while it grew by 30 per cent year-on-year. Sula Vineyards says that on a provisional basis, the company’s net revenue in the fourth quarter stood at Rs 104.3 crore from its brands and Rs 12.4 crore from wine tourism. Wine tourism includes room revenue, sales of food and beverages, merchandise and other ancillary services. In the financial year 2023, the company’s wine tourism business touched Rs 80 crore, which was Rs 44 crore in 2019. The company says that it can reach Rs 100 crore next year.
Why can there be a boom
Wine consumption is increasing rapidly in the country and Sula Vineyards is also benefiting from it. Last month, the brokerage firm had initiated coverage on the company with a buy recommendation with a target price of Rs 475. CLSA analysts say that there is a global shift towards the low alcohol beverage segment such as beer and wine. This will benefit Sula. Sula had raised Rs 960 crore through an IPO in December at Rs 357 and was listed on 22 December.
