Do you have any questions about buying Varun Beverages Ltd. shares as a long-term investment? It is worthwhile to examine closely the company’s share price projection for the next ten years given the company’s remarkable revenue growth and profit growth over the past few years. In this article, we’ll examine the company’s financial information for the years 2024 to 2030, including the highest and lowest share prices, EPS, and other significant financial measures. By the time you’re done reading, you’ll know more about whether Varun Beverages Ltd. is a stock you should add to your stock portfolio. Let’s examine their share price goal in more detail and see if the company can achieve INR 10,000 by 2025.
About Varun Beverages
Varun Beverages Limited (VBL) is an Indian company that produces, bottles, and distributes beverages. It is the second-largest bottling company for PepsiCo’s beverages worldwide, excluding the United States. Established in 1995 as a subsidiary of RJ Corp, VBL is named after founder Ravi Jaipuria’s son.
VBL is a key player in the beverage industry and one of the largest franchisees of PepsiCo globally. It produces and distributes a wide range of PepsiCo brands, including Pepsi, Seven-Up, Mirinda Orange, Mountain Dew, and Tropicana Juices. VBL’s stock is traded on the National Stock Exchange (NSE) under the ticker symbol VBL. With its strong market presence and dedicated leadership under Ravi Jaipuria, VBL continues to excel in delivering high-quality beverages to consumers.
Varun Beverages latest news
Varun Beverages has initiated commercial production of carbonated soft drinks and energy drinks at its new facility in Gorakhpur, Uttar Pradesh. This expansion, backed by an investment of Rs 1,100 crore, signifies the company’s foray into new segments. Plans also include introducing juices and value-added dairy products soon. With operations spanning six countries, Varun Beverages is a key player in PepsiCo’s beverage sales in India. Its 2023 net revenues stood at Rs 16,042.58 crore. This move underscores the company’s commitment to growth and diversification in the beverage market.
Varun Beverages Q4 FY24 Results
- Q4 FY24: Varun Beverages reports strong performance.
- Net profit surges 77% YoY to Rs 132 crore
- Total revenue: Rs 2,731 crore, up 21%
- EBIDTA rises 37% to Rs 419 crore, with a margin of 15.3%
- 7.0% increase in net realization per case in 2023 to Rs. 175.7
- Growth driven by focus on smaller SKUs in Indian markets and higher international realization
- Varun Beverages, a major PepsiCo franchisee globally, emphasizes market position strengthening
- Plans to acquire 100% stake in The Beverage Company, South Africa, valued at ZAR 3 billion (~INR 13.20 billion)
Below are the trading platforms that you can use to purchase Varun Beverages shares:
➤ Zerodha
➤ Upstox
➤ Groww
➤ AngelOne
➤ ICICIDirect
| When | Maximum Price | Minimum Price |
| April 2024 | 1,412.40 | 1,228.17 |
| May 2024 | 1,391.53 | 1,210.02 |
| June 2024 | 1,441.62 | 1,253.58 |
| July 2024 | 1,427.21 | 1,241.05 |
| August 2024 | 1,484.29 | 1,290.69 |
| September 2024 | 1,543.67 | 1,342.32 |
| October 2024 | 1,513.40 | 1,316.00 |
| November 2024 | 1,573.93 | 1,368.64 |
| December 2024 | 1,589.67 | 1,382.32 |
In April 2024, Varun Beverages’ stock prices are forecasted to range between a minimum of ₹1,228.17 and a maximum of ₹1,412.40. As the months progress, these prices are expected to fluctuate, with the highest anticipated in December, reaching up to ₹1,589.67, while the lowest might be in May at around ₹1,210.02. Throughout the year, investors can expect dynamic market movements, offering both opportunities and challenges.
| When | Maximum Price | Minimum Price |
| January 2025 | 1,748.64 | 1,345.11 |
| February 2025 | 1,766.30 | 1,358.69 |
| March 2025 | 1,803.40 | 1,387.23 |
| April 2025 | 1,785.54 | 1,373.49 |
| May 2025 | 1,733.53 | 1,333.49 |
| June 2025 | 1,811.54 | 1,393.49 |
| July 2025 | 1,776.02 | 1,366.17 |
| August 2025 | 1,830.95 | 1,408.42 |
| September 2025 | 1,852.92 | 1,425.33 |
| October 2025 | 1,901.10 | 1,462.38 |
| November 2025 | 1,948.63 | 1,498.94 |
| December 2025 | 2,036.31 | 1,566.40 |
As we step into January 2025, Varun Beverages’ stock prices are forecasted to range between a minimum of ₹1,345.11 and a maximum of ₹1,748.64. Subsequently, as the months unfold, fluctuations are expected, with December 2025 projecting the highest prices, peaking at ₹2,036.31, while May 2025 may witness the lowest values, hovering around ₹1,333.49. Throughout the year, investors should remain vigilant, navigating through the dynamic market landscape.
| Year | Maximum Price | Minimum Price |
| 2026 | ₹1,969.78 | ₹1,308.85 |
| 2027 | ₹2,056.76 | ₹1,439.73 |
| 2028 | ₹2,879.46 | ₹1,439.73 |
| 2029 | ₹2,493.04 | ₹1,246.52 |
| 2030 | ₹3,240.96 | ₹2,268.67 |
In 2026, the maximum price is projected to reach ₹1,969.78, while the minimum is expected to be ₹1,308.85. Looking ahead to 2027, the maximum price is anticipated to rise to ₹2,056.76, with the minimum price also increasing to ₹1,439.73. By 2028, both the maximum and minimum prices are forecasted to surge to ₹2,879.46 and ₹1,439.73, respectively. In 2029, the maximum price is expected to be ₹2,493.04, while the minimum price may decrease to ₹1,246.52. Finally, in 2030, the maximum price is anticipated to reach ₹3,240.96, with the minimum price projected to be ₹2,268.67.
Financial Condition of Varun Beverages: Last 5 years
| Dec 2019 | Dec 2020 | Dec 2021 | Dec 2022 | Dec 2023 | |
| Sales + | 7,130 | 6,450 | 8,823 | 13,173 | 16,043 |
| Expenses + | 5,667 | 5,235 | 7,129 | 10,310 | 12,434 |
| Operating Profit | 1,462 | 1,215 | 1,694 | 2,863 | 3,609 |
| OPM % | 21% | 19% | 19% | 22% | 22% |
| Other Income + | 47 | -30 | 51 | -18 | 79 |
| Interest | 324 | 294 | 207 | 204 | 268 |
| Depreciation | 489 | 529 | 531 | 617 | 681 |
| Profit before tax | 696 | 363 | 1,007 | 2,024 | 2,739 |
| Tax % | 32% | 1% | 26% | 23% | 23% |
| Net Profit + | 472 | 357 | 746 | 1,550 | 2,102 |
| EPS in Rs | 3.61 | 2.53 | 5.34 | 11.53 | 15.82 |
| Dividend Payout % | 15% | 22% | 16% | 15% | 16% |
Over the past five years, the company has been on an upward trajectory. Sales have shown strong and consistent growth, reaching an impressive 16,043 by December 2023. The operating profit margins remained steady, fluctuating between 19% and 22%, and the actual operating profit increased from 1,462 to 3,609, indicating a positive trend.
While there were some fluctuations in other income, it contributed positively, reaching 79 in December 2023. However, there were increases in interest, depreciation, and taxes, reflecting the expansion of business operations.
The company’s overall profit picture is robust, with profit before tax growing significantly from 696 to 2,739, and net profit increasing from 472 to 2,102 during the same period. Earnings per share (EPS) also saw a noteworthy rise from 3.61 to 15.82.
Shareholders have been rewarded consistently, with a steady dividend payout percentage ranging from 15% to 22%. In essence, the company’s financial performance demonstrates consistent growth in sales, profits, and returns for shareholders over the past five years.
FAQS
According to our analysis, the share price target for Varun Beverages for 2030 suggests VBL could be trading in the range of ₹2,268.67 and ₹3,240.96.
As per our analysis, Varun Beverages may not reach Rs. 10,000 INR by 2025. However, by 2050, 10000 INR per VBL share is possible.
What factors are driving the growth of Varun Beverages?
Varun Beverages has seen growth in revenue and profits due to the increasing demand for beverages in India and other countries, as well as its strategic partnership with PepsiCo.
Is Varun Beverages a good investment?
Varun Beverages has shown consistent growth in revenue and profits over the last five years and has a strategic partnership with PepsiCo. While investing always carries some level of risk, Varun Beverages Ltd may be a good investment opportunity for investors looking for exposure to the beverage industry.
What are the brands that operate under the VBL brand name?
VBL operates and sells various popular PepsiCo brands, which include Pepsi, Seven-Up, Mirinda Orange, Mountain Dew, Tropicana Juices, and numerous others.
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Conclusion
Varun Beverages Ltd. (VBL) offers a compelling investment opportunity in the beverage sector, backed by strong financial performance and strategic partnerships. With consistent revenue and profit growth, including a recent surge in net profit by 77% YoY, VBL demonstrates resilience and potential for further expansion. Its partnership with PepsiCo and dominant market position it well for growth, supported by recent initiatives like the commencement of commercial production at a new facility in Uttar Pradesh. Share price projections suggest promising growth potential, making VBL an attractive prospect for long-term investors seeking exposure to a dynamic market. In related news, VBL has initiated commercial production at a new facility in Gorakhpur, Uttar Pradesh, signaling its expansion into new beverage segments and reaffirming its commitment to growth and diversification.
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