Table of Contents
Varun Beverages’ quarterly sales volumes have shown strong growth across the last eight quarters, driven by seasonal peaks and consistent expansion across categories and regions. Volumes peaked at 402 million unit cases in Q2 CY24, reflecting the highest-ever summer quarter for the company. Since then, volumes have normalized to 390 million in Q2 CY25, registering a modest 3% decline year-on-year on a high base, before rebounding slightly to 274 million in Q3 CY25.
- Non-carbonated beverages (NCBs) surged 175% YoY in Q1, driven by energy drinks and juices, while water volumes fell sharply (-28.6% in Q3) as unseasonal rainfall and an extended monsoon season softened on-ground consumption.
Despite temporary weather-related moderation, the company’s long-term outlook remains positive. There is no reason to not expect double-digit growth going forward, provided the weather remains favourable and rural demand continues to normalize.
What It Means
The minor contraction in Q2 CY25 signals base normalization rather than a demand slowdown. Growth in non-peak quarters (Q3 and Q4) remains intact, underscoring Varun’s resilient volume trajectory and diversified demand base. This pattern reaffirms the company’s structural growth levers - strong distribution, product mix expansion, and seasonally aligned capacity utilization - positioning it well for sustained mid-term momentum.
