Wine producer Sula Vineyards Ltd on Friday (October 11) said it achieved its highest-ever revenues for both its Own Brands and wine tourism segments in Q2 FY25, led primarily by growth in its Elite & Premium portfolio.

Net revenue for Q2 FY25 stood at ₹141.8 crore, a 1.3% dip from ₹143.7 crore year-on-year. Own brands revenue rose marginally by 0.3% to ₹127.2 crore, up from ₹126.8 crore in Q2 FY24. The wine tourism segment also achieved its highest Q2 revenue, climbing to ₹12.2 crore, up 1.3% from ₹12.1 crore the previous year.

This high-value segment represented 80% of the company’s Own Brands revenue, up from 74% in Q2 FY24, and recorded high single-digit growth, with notable demand in Telangana, Sula’s third-largest market, where sales surged with double-digit growth.

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“Growth in Q2FY25 was subdued primarily due to a broader slowdown in discretionary spending at the macroeconomic level as well as challenges in key markets – policy ambiguity in Karnataka and significant issues with the Delhi Excise portal in the last 15 days of Q2 FY25,” it said.

The company expects these challenges to ease in the coming months, supporting continued revenue momentum.

Wine tourism remained robust, setting a record for second-quarter earnings, buoyed by a 9% year-on-year increase in average guest spending and an improvement in occupancy rates, which rose to 74% from 66% last year. Even with lower footfalls, these factors helped counterbalance softer visitor numbers.

Entering the critical Q3 period, Sula is preparing for a busy festive season. The vineyard is also gearing up to host the popular SulaFest at its Nashik facility, which is anticipated to further boost wine tourism revenue.

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Shares of Sula Vineyards Ltd ended at ₹442.05, down by ₹7.55, or 1.68% on the BSE