Varun Beverages board to mull stock split on 2 May

Varun Beverages board to mull stock split

On May 2, 2023, the board of Varun Beverages Ltd (VBL), the biggest franchise bottler for PepsiCo, will meet to discuss a stock split and ratify the fourth quarter earnings.

“We wish to inform you that a meeting of the Board of Directors of the company will be held on Tuesday, 2 May, 2023 inter-alia, to consider and approve unaudited financial results of the company, both on standalone and consolidated basis, for the quarter ended 31 March, 2023,” VBL said in a regulatory filing.

“Proposal for sub-division/split of existing equity shares of the company having a face value of ₹10/- each, fully paid up, in such manner as may be determined by the Board of Directors subject to the approval of equity shareholders of the company and/or any other regulatory/statutory approvals (if any),” the company added.

The company, which follows the calendar year as its financial year, reported a more than twofold leap in its consolidated net profit to ₹81.52 crore for the quarter that ended 31 December, 2022, supported by volume growth and higher net realisations.

VBL accounts for 90 per cent of PepsiCo’s beverage sales volume in India.

VBL manufactures, markets and distributes PepsiCo-owned goods such as carbonated soft drinks, carbonated juice-based beverages, juice-based beverages, energy drinks, sports drinks and packaged drinking water.

Shares of Varun Beverages Ltd were trading at ₹1,435.25 on NSE, down 0.84 per cent on Thursday.