Overview

• Radico Khaitan's Prestige & Above (P&A) segment is expected to drive a 16% revenue CAGR over FY25-28, supported by brand expansion and premiumisation efforts.
• Motilal Oswal Financial Services Ltd has set a target price of Rs 3,000 for Radico, valuing it at 60x P/E on Jun’27E EPS.
• The India-UK Free Trade Agreement will reduce customs duties on imported spirits, potentially saving Radico Rs 750 million by FY26.
• Radico has expanded its footprint to over 100,000 retail outlets and 10,000 on-premise locations, strengthening its market presence.
• Despite risks like raw material price inflation and state-level excise duty changes, Radico's operational efficiencies and premiumisation strategy are expected to bolster margins and growth.