Fundamental Analysis

GM BREWERIES LIMITED 

Ticker : 507488 
BUY : Rs 491.15 
Target : Rs 550

GM Breweries Ltd (GMBL) is engaged in the activities of manufacturing & marketing of alcoholic beverages such as country liquor (CL) and Indian-made foreign liquor (IMFL). On the standalone quarterly front, the company recorded net sales & operating income of Rs 464.12 crore for Q4FY21, which is an increase of 16.75 per cent from its net sales & operating income of Rs 397.54 crore reported for Q4FY20. The operating profit gained significantly to reach Rs 53.71 crore in Q4FY21 from Rs 25.65 crore posted in Q4FY20. The net profit was reported at Rs 45.34 crore in Q4FY21 from Rs 17.76 crore in Q4FY21, clocking huge gains. GM Breweries is striving to enlarge its footprint into other districts of Maharashtra. Producing the finest quality of products and bearing a strong brand image, the company’s ‘GM Santra’ brand is a popular product, fulfilling the demand among all country liquor industries. Hence, we recommend BUY.