Note: This is a preliminary transcript and may contain inaccuracies. It will be updated with a final, fully-reviewed version soon.
Globus Spirits Limited (NSE: GLOBUSSPR) Q3 2026 Earnings Call dated Jan. 13, 2026
Corporate Participants:
Suyash Samanth — Investor Relations
Shekhar Swarup — Joint Managing Director
Paramjit Singh Gill — Chief Executive Officer of Consumer Division
Analysts:
Abneesh Roy — Analyst
Vijay Shah — Analyst
Himanshu Shah — Analyst
Unidentified Participant
Aashish Upganlawar — Analyst
Nitin Awasthi — Analyst
Unidentified Participant
Unidentified Participant
Sarvesh Gupta — Analyst
Nishant Bhat — Analyst
Unidentified Participant
Unidentified Participant
Presentation:
Operator
Ladies and gentlemen, good day and welcome to Globus Spirits Limited Q3 and 9M FY26 earnings conference call. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Start and zero on your touchstone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Suyash Samanth from Stellar Investor Relations Advisors.
Thank you. And over to you, Mr. Samanth.
Suyash Samanth — Investor Relations
Thank you. Good afternoon everyone and thank you for joining us today. We have with us today the senior management team of Globis Spirits Ltd. Mr. Shekha Swaroop, Joint Managing Director, Mr. Paramjit Singhal, CEO of Consumer Division and Mr. Nilandhan Sarkar, Chief Financial Officer who will represent Global Spirits Ltd. On the call, the management will be sharing the key operating and financial highlights for the quarter and nine months ended 31 December 2025 followed by a question and answer session.
Please note this call may contain some of the forward looking statements which are completely based upon the company’s beliefs, opinions and expectations. As of today, these statements are not a guarantee of the company’s future performance and involve unforeseen risks and uncertainties. The company also undertakes no obligation to update any forward looking statements to reflect developments that occur after the statement is made. The call will be limited to one hour. I now hand over the conference to Mr.
Shaikha Swaroop. Thank you. And over to you sir.
Operator
Speakers please go ahead.
Shekhar Swarup — Joint Managing Director
Hi. I apologize, I was on mute. Good afternoon everyone. Thanks for joining us on the Q3 nine month earning call. Param and Nilanjan are also with me. Building on our earlier communications, we would like to reiterate our approach. Over the last few quarters the company has transformed into an innovative and growing brands led company backed by a robust manufacturing backbone. We continue to build and strengthen the company to ensure consistent growth of our consumer business in the years to come.
To this end, the board had passed a resolution for a fundraise which is an enabling resolution. We have a one year time frame for the resolution and basis, the requirement of the company and the right investor set. We will evaluate our options. These actions provide us ability to finance the business, create innovative and world class brands and ensure industry leading margins. And I will ask Aram to walk you through the developments of the consumer business in detail shortly. Coming to our manufacturing business which provides besides providing us a stable supply and innovation platform, the manufacturing Business also ensures high capacity utilization of assets thereby reducing cost of production for the consumer business.
In the quarter gone by, we have consumed around 15 million litres of ENA and sold 52.25 million litres of ENA and ethanol driving capacity utilization of 86% in the quarter gone by which marginally exceeds our guidance of 80 to 85%. The bulk sales business, the manufacturing business generated a margin of 7.5 rupees per liter in the quarter, EBITDA margin of 7.5 rupees Per liter in the quarter and an EBITDA margin of 5.76 per liter in the nine month period. This is in line with our guidance of five to seven rupees per litre for the year.
We’re expecting capitalization of our UP assets worth around 200 crore rupees in Q4 which will add a capacity of 100,000 liters per day of grain ENA production. The facility is also compatible to use Malnesis. This capacity will help further improve our margins of R and O and P and a portfolio in Uttar Pradesh. Over to you Param.
Paramjit Singh Gill — Chief Executive Officer of Consumer Division
Thank you Shekhar and good afternoon everyone. Coming to consumer business for Q3FY26 prestige and above reported a volume growth of 37% year on year and revenue growth of 32% year on year excluding Delhi. Coming to Delhi in Q2, we had mentioned that Delhi had certain issues. These issues have since been resolved during Q3 and volumes have already started normalizing and we totally get into a normal stream by end of Q4. As you will recall, Delhi is one of the first three states where our consumer business had started and hence the impact on our overall business has been a little more than normal.
We are confident of 50% volume growth in the PNA segment in Q4FY26 bringing us back on track. As we keep growing in geographies, the share of business of a single state reduces significantly and therefore our overall stability keeps improving on new states. Early reports from Assam where we launched our two key brands, Mountain Oak as well as Brothers are encouraging as we continue to expand our presence there towards improving our presence in the overall northeast region With Assam being the key anchor.
Jharkhand will be the next state where we plan to enter by the end of Q4. We expect overall PNA to grow in the zone of about 50% in this quarter. Coming to RNO, Rajasthan recorded a volume growth of 2% year on year and revenue growth of 3% year on year. In line with industry up has shown accelerated growth in Q3 with sale in December reaching the 1 lakh case mark. Overall RNO segment volumes had flat growth year on year and revenue growth of 1% year on year. In Delhi, the excise policy of 2425 ended in September 25 and since then a new policy is awaited In West Bengal.
The company had decided to shift the bottling location and that shift is already underway. This shift has been necessitated due to high labor costs in the previous setup and we expect our overall RNO growth to remain in mid single digits in Q4. With that I request the moderator to open the forum for Q and A. Thank you.
Questions and Answers:
Operator
Thank you. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on your touch tone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question comes from the line of Abhinash Roy with Nuama. Please go ahead.
Abneesh Roy
Yeah, thanks. My first question is on gross margin as a company overall I see around 150bps quarter on quarter expansion. Finded this yoy any one offs here. And from a near term perspective for Q4, how do you expect overall gross margins? You also said that you expect 50% growth in P and A for the quarter. So if you could clarify, Is this for Q4? 50% kind of growth expectation for the P and A. Thanks
Shekhar Swarup
Abneesh. Thanks for the question Abneesh. The expansion in gross Margins are for two reasons. One is a lower cost of raw material in Q3 which is in line with what we had expected given the structural change in the raw material scenario in the country that transpired even in Q3. So that story is really playing out, continues to play out and will remain this way. The other reason is, you know, as our P and A business grows, in fact even as our R and O business continues to grow, overall gross margins will rise.
So all of this is a structural improvement and not one off. Param over to you for Q4P and A growth.
Paramjit Singh Gill
Yeah. So yes, your point of nish was correct that we are projecting a 50% volume growth in PNA consumer business. And our margins in the consumer business as we have indicated are already in the zone of about 40 odd percent. And we do not expect any significant change as we continue our growth path.
Vijay Shah
Understood.
Abneesh Roy
My last question is on UP market you entered few quarters back in terms. Of the R and O. So I wanted to understand when you compare A very large state for you, Rajasthan, where you have a very large market share versus a new state like Uttar Pradesh in terms of gross margin, how do those two states compare? I understand, I don’t know if I’m right. I understand that UP the pricing is a bit lower than Rajasthan, but in terms of RM cost also, is there a big difference? So some clarity on that. Plus you mentioned that around 1 lakh cases in UP in December.
I understand it is India’s largest market in terms of R&O 1 lakh cases. How does it measure versus your own internal expectations? Any problems, any big wins, any problems you see in currency in UP market in terms of that business?
Paramjit Singh Gill
So in terms of. If we are looking at comparing RNO margin between Rajasthan and UP in the initial stages, we definitely see UP while the margins on their own being very healthy, but they will be marginally less than Rajasthan. Coming to the second part of the question, how do we see this 1 lakh cases? We are excited for the pure reason, as you have called out, that UP is one of the largest markets of almost a crore case per month. And our current performance of reaching the 1 lakh case is well in line with our, I mean journey, which we had predicted for ourselves very early to start putting it in terms of big wins.
But definitely it gives us a lot of confidence that the path that we have chosen and the strategy that we have implemented is resonating with the outcomes. And further, as our manufacturing unit is coming on, distillery is coming on stream very, very soon. We are very, very confident that this will start as soon as it stabilizes. In a couple of weeks it will start improving our margins in UP also. So the growth journey in UP is very, very exciting from both point of view, high level of excitement, no big wins.
It’s too early to start reporting big wins on a small base yet.
Shekhar Swarup
So I just wanted to come in here on the margin in up, there’s going to be an expansion in UP margins as soon as the distillery starts. We were expecting to start last month Abnish, but there were some delays with the licensing. We received our license early January and now we’ve started the process of commissioning and we hope to announce commissioning very soon. So there’ll be significant margin expansion now as soon as the distillery starts supplies and then as the business stabilizes, scales up and stabilizes, there will be further growth in margin.
Abneesh Roy
Understood? One clarification here. Once the distillery in UP fully stabilizes in terms of gross margin. So my question was not for EBITDA margin, because EBITDA Margin obviously for a new business is not the right metric to look at in the initial part of the cycle. My question was more once the distillery in UP is up and running, then is there a big gap in terms of Rajasthan gross margin and UP gross margin? You did say that the difference is not big but once not very big. Okay, sure. Thanks. That’s all from my side.
Thank you.
Operator
Thank you. A reminder to all the participants, please restrict yourself to two questions and rejoin the queue for more questions. Next question comes from the line of Himanshu Shah with Dalt Capital. Please go ahead.
Himanshu Shah
Thank you. Thanks a lot for the opportunity. Couple of questions. First on the manufacturing business, how much has been the correction in the raw material prices? Maybe on a YOY or QOQ basis. If you can highlight both in broken rice as well as maize number one. And secondly, has the entire benefit got factored in current quarter or we should see some flow through impact through higher spread even in the upcoming quarter.
Shekhar Swarup
So Nilanjan, you could please pull out the change in raw material price qoq. Meanwhile I’ll talk about the trend. So the significant reduction in raw material prices started taking place towards mid November which is in line with seasonality. Every year we see around November and essentially after the share we start seeing correction in raw material prices. This lasts still about end.
Himanshu Shah
Hello. Hello. Ladies and
Operator
Gentlemen, we have a lost line of the speakers. Please stay connected while I quickly get them reconnected. Sa. Ladies and gentlemen, the management line has been reconnected. Please go ahead.
Shekhar Swarup
Hi moderator. The music is. Yeah, thank you. So sorry about that. So Q3 and early Q4 is usually very good for margins and that’s the trend that’s playing out even now. Nilanjan, do you have the Q1Q and YoY numbers?
Unidentified Participant
Yeah. The Q1Q reduction has been 4% and YoY reduction 15%.
Himanshu Shah
Okay. And so just a follow up. So we should see some more flow through benefit because this price reduction has happened in from mid of November. So full benefit should come in Q4 and we should see some further healthy margin improvement for Q4 too.
Shekhar Swarup
No? So February and March prices will start firming up again. Overall for the financial year the margins will be around 6 to 7 rupees. In fact it should be around 7 rupees a litre. Strategically 5 to 7 is our guidance and that is what we continue to maintain.
Himanshu Shah
Secondly on up capex you mentioned is 200 crore. In presentation we were seeing up capex as to 120 crore. Any reason for this sharp increase in capex for up.
Shekhar Swarup
I don’t know about the 120 number. I think our CWP is around 180. Nilanjan, can you talk about this?
Unidentified Participant
Yeah. CWIP is at 184. 184 crores.
Himanshu Shah
Okay. Expecting
Shekhar Swarup
A little more. A little more capex which is not yet. Which happened in Q3 and is still pending. So 120. I’m not sure what this number is there.
Himanshu Shah
I’ll share the screenshot of the presentation separately after the call. Okay,
Shekhar Swarup
Maybe there was an error. I apologize for that. But please do share that information so we can correct. Yes,
Himanshu Shah
Sure. And thirdly, just a bookkeeping question. We have seen change in numbers for Q3FY25 between IMR, IMFL, consumer IMFL and manufacturing numbers of the base quarter last year Q3FY25. Last year IMFL revenue was 48 crore which has been reported as 43 crore. Any specific reason for this?
Unidentified Participant
There was a reclassification as per inde. And that reclassification has been addressed in this quarter.
Himanshu Shah
Okay.
Shekhar Swarup
Classification was
Unidentified Participant
Only
Shekhar Swarup
In Q3 last year.
Unidentified Participant
Only in Q3 Q3 of last year versus Q3.
Shekhar Swarup
Okay.
Abneesh Roy
And
Himanshu Shah
On IMFL this is our vision statement. What we have guided for basically 50 revenue from consumer and within that 5025 coming from PNF. This ballpark implies a 50 revenue CAGR over FY 26 to 29. How confident are we on this and what will drive this? Because last 2/4 performance is not indicating any kind of positivity from an IMFL perspective. So on a higher base of IMFL revenue we are guiding for indirectly a 50% CAGR. So how confident are we.
Paramjit Singh Gill
So. So thanks thanks Himanshu. There’s some background noise here. So. So thanks Himanshu for the question. Obviously overall you see we had called out in the last quarter itself has been a drag for on us for the last four four and a half months
Shekhar Swarup
And
Aashish Upganlawar
That
Paramjit Singh Gill
Has had a big impact. Except for that our overall strategy and growth are in line now there is obviously there can be a month or a quarter as we go forward into our next couple of years journey where there can be a performance which can exceed the projection and another quarter where it can slip. That is part. But we are very confident of our overall projection and our numbers purely because strategically we are going to grow within each state as well as we are organically also growing geographies further to top it up.
Also we have a lot of support coming in from luxury to build up the top line and the bottom line growth which is being driven by pna. So overall we are very, very confident because what we have narrated is part of a, part of a well crafted strategy that has been successfully implemented for the last three years. We must keep it in mind that there will be these quarters of over delivery and some quarters of softer delivery and that is part of the journey. These will start getting less and less impactful as we keep going forward and have more brands, more geographies so that any individual state tailwind or headwind will start becoming a very normal consequence of part of the journey as it is well known in our industry.
Himanshu Shah
That was helpful and how much dependent Our Vision FY29 statement is on the QIP. Assuming if the QIP doesn’t go through, would we still be holding on to our vision statement or we may recalibrate. That
Shekhar Swarup
We’ll be holding on to our vision statement in either scenario. What we are getting with the QIP is an ability to grow our business a little bit faster. To be able for, to be able to have certain opportunities for growth as and when the opportunity is available to be taking actions in those opportunities as well as for increasing our malt whiskey inventory. So you know in either scenario these are the numbers that we are projecting to achieve.
Operator
Thank you Mr. Shah. Please rejoin the queue for more questions. Next question comes from the line of Nitin Avasti with incredible search. Please go ahead.
Nitin Awasthi
Hello sir, one question the manufacturing side and one question on the consumer side. On the manufacturing side our utilization has been tagged below the numbers we used to do in the earlier years. Talking. I’m talking about. Sorry N. Your.
Shekhar Swarup
Your voice is very soft.
Nitin Awasthi
Hello sir. Mr.
Operator
Please speak a little louder.
Nitin Awasthi
Yeah, Am I audible now?
Operator
Yes, please go ahead.
Nitin Awasthi
Okay. Okay, great. So. So on the historical front, from the historical perspective our nine month utilization number for the manufacturing business seems to be on the lower end. So is it because of the capex that we were doing and the refurbishing of the plants that we were doing and do we expect this to again go back to the historical level of 90% plus.
Shekhar Swarup
Nitin? We are expecting capacity utilization at 80 to 85% going forward. Given the capacity base that you know, our current capacity base and the incremental growth after up, that’s what we’re going to be able to achieve and you know that’s been our guidance since last quarter.
Nitin Awasthi
Understood sir. So on the second question on the consumer front, Rajasthan had a multi year policy which was implemented last year. It has done this before also. However in the mid year it used to come and give a policy Again for the next year. And that used to normally make Q4 a bumpy quarter because the new excise policy used to have higher prices come in from April and people used to Stock up in Q4. So this time around, are we expecting any such movement because of the multiyear policy or we just expecting normalization of the whole thing?
Shekhar Swarup
So I can param. I can come in on this if that’s all right. So Nitin, you know, typically the one issue that I have here this time is that, you know, given our stabilization of our SAP HANA project this quarter, we’ve been able to announce our results a lot sooner than in the other quarters. We hope that this kind of momentum will continue now going forward. The one problem because of this is that usually Q3 if results are towards mid or end of February and by then I have complete clarity about next year’s policy sitting mid January.
Right now there are talks that are on for a potential price increase in Rajasthan. If that price increase is to come through, then yes, similar ordering pattern will continue as there was last year. But if it isn’t to continue then there won’t be any change. Regardless of this, we are expecting this mid single digit kind of volume growth in the R and O segment, whether it is a little bumpy or not in Rajasthan. But we should be able to deliver on this mid single digit growth.
Nitin Awasthi
Understood sir. Thank you.
Operator
Thank you. Next question comes from the line of SID with Minerva India Undeserved. Please go ahead.
Unidentified Participant
Yeah. Hi. My first question is that what is your guidance for EBITDA per Leader for FY27 and for this what would be your underlying assumptions for rice in maize price for this guidance?
Shekhar Swarup
Our guidance remains 5 to 7 rupees per liter for the next financial year at 80 to 85% capacity utilization. My assumption for maize and rice prices is a similar trend that has played out this year. If there is significant change then we expect that prices will also move in line with the significant change that takes place.
Unidentified Participant
Okay. So the margins should be this in this range regardless.
Shekhar Swarup
Yes, is what.
Unidentified Participant
Okay. My second question was how do you see profitability for IMFL in the next financial year FY27 and if you could also give any inputs on FY28 profitability that would be helpful
Shekhar Swarup
At this point. We’Ve given a guidance for FY29 profitability. We are not in a position to give year wise guidance for the P and A business. So we request you to bear with us for a few quarters till then.
Unidentified Participant
Okay. So for IMFL you can’t give FY27 or 8 profitability guidance. Not at the moment.
Shekhar Swarup
Not at the moment. We’ve given a 15 to 17% EBITDA margin guidance in FY29 for P and A.
Unidentified Participant
All right, so then my last question is that what are our plans for UP for IMIL in the next financial year? Can you provide a target for like in terms of millions of cases that we are planning to reach in FY27?
Shekhar Swarup
So param over to you.
Paramjit Singh Gill
Yeah, see we don’t want to project individual cases by a state. What we are expecting is as we have called out that overall we are indicating that the RNO business will continue its mid single digit growth. Now we obviously are expecting that UP will continue to drive growth as well as the support from Delhi and West Bengal will kick in once the new policy of Delhi Excise comes through, which definitely will come through if not sooner than in March and West Bengal by the latter half of this quarter, end of this quarter, our operations will start.
So individual state wise guidance we are not releasing at this point of time. Kindly bear with us.
Unidentified Participant
Okay, so but it’s fair to assume then that for IMIL and UP we can accept expect similar mid single digit growth in volumes.
Paramjit Singh Gill
No, I mean overall I said across IMIL
Shekhar Swarup
Not
Paramjit Singh Gill
For UP will obviously grow much much faster than that for the simple reason that the base is very slow, very small. UP is a very small base. We are seeing across the total performance of logos across all five states.
Unidentified Participant
Okay, all right. Okay, got that. Thank you.
Shekhar Swarup
Thank you. Thank you.
Operator
Thank you. Next question comes from the line of Soumya s with insightful investments. Please go ahead.
Unidentified Participant
Yeah. Hi sir, thank you for the opportunity. So basically my question was similar to the last participant in the Delhi market. Since you’re saying that you know it has come back and now we’re expecting better performance going ahead. If there is any chance you could give us what kind of volumes and revenue are expecting, you know, going forward since it’s a market that we were previously present in and are now sort of seeing a revival.
Paramjit Singh Gill
Yeah. So, so thanks. Thanks Sonia. To give you a broader indication we have given the performance of PNA that we reported a 37% year on year growth, volume growth without Delhi. You have our overall numbers of volume growth which we have already published starts giving you that Delhi obviously was a salient market for us. As I have said, we individually do not predict statewise quarter wise growth. But we are very confident of Delhi’s turnaround. Turnaround which has already begun should totally normalize by the end of this quarter itself.
Unidentified Participant
All right, sir, thank you.
Paramjit Singh Gill
Thank you so much.
Operator
Thank you. Next question comes from the line of Ashish UpkanLawar with Invest PMS. Please go ahead.
Aashish Upganlawar
That we have taken anything of the board. So any concrete times as of now as to how much are we doing out of the 500 crores and in what timeline? And secondly the utilization of that, how would you plan it?
Shekhar Swarup
Currently there’s nothing concrete. As I mentioned in my opening remarks. It’s an enabling resolution and based on, based on how the business is growing, the requirement as well as environmental factors, we will take a decision later in the year.
Aashish Upganlawar
Okay, and what’s the thought process on utilization of that? Where are we going to utilize it?
Shekhar Swarup
Utilization is essentially for growing our consumer business both in terms of working capital finance as well as increasing inventory of malt whiskey.
Aashish Upganlawar
Okay. So the only point is that given the market cap of our company, finder curve seems to be a reasonably pick dilution that would come in. So as investors, I mean we would be looking at lesser of a dilution because unless it’s a dire need for the business. No, like I said,
Shekhar Swarup
There’s no, there is no dire need. Firstly. Secondly, this is an enabling resolution and 500 crore is the limit. The requirements that we are forcing are lower than that. So let’s see how, how things shape up as the year progresses and we’ll keep you informed.
Aashish Upganlawar
Okay. Secondly, one more thing. On the drop in prices of raw materials, can you help me with the numbers on what would be the drop in maize prices? Would you have seen? And also on the broken rice, what was the kind of drop that we saw.
Shekhar Swarup
For broken rice and maize? I think it’s an overall thing. No, it’s not the right way to see it because you know, we may not have been purchasing maize in a certain period that we’re purchasing maize right now. So the base may not be comparable. Nilanjan mentioned that 15% is the reduction in in raw material price year on year and 4% quarter on quarter and factors in the raw material mix.
Aashish Upganlawar
Right. So would we have used more of broken rice this time around? I mean, is that a fair assumption or we are using a mix of both?
Shekhar Swarup
It’s a mix of three, Right. Fci, broken rice and maize. In the north, maize prices are not that favorable. In the east they are more favorable. So it’s a mix.
Aashish Upganlawar
Okay, I mean just one, looking for a direction as to in the market, what would be the drop in the maize price? I don’t have the data overall
Shekhar Swarup
In. Terms of raw total raw material price difference is 15% year on year. But if I was to talk about maize last year, December maize price in December last year was about 2,300 rupees. And this year it’s about 2,400 rupees. And this year it’s about 2150 to 2200. But these are spot price changes, not average of quarter or any such number. So the average of quarter, the right way to see it is raw material, average raw material price for that period.
Aashish Upganlawar
Sure sir. Thank you so much.
Operator
Thank you. Next question comes from the line of hit Enterpradan with maximal capital please.
Sarvesh Gupta
Good afternoon sir, if I heard you right, you said for Q3 you did 37 yoy on P&A X of Delhi and overall 9%. Do you have the similar figure for 9M also?
Paramjit Singh Gill
No. Beyond this there is not much more detail at this point of time we are sharing. The reason why we called out was just to point out the impact of Delhi because Delhi was one of the first three states we had entered up Delhi and West Bengal. And as we continue with our growth journey still is a significant contributor. And the impact on Delhi has been noteworthy in our business. As I have said that we are very quickly normalizing the situation and the momentum will be there for all to see in Q4 itself.
And going forward obviously such blips will become less and less noteworthy as we expand into more geographies and more brands.
Sarvesh Gupta
Yeah, okay. And similarly sir, on the R and O business, so you know from the beginning of the year we were expecting a mid single digit sort of sales volume growth. But we have been more or less flat. And so let’s say Rajasthan, you have called out about inventory alignment in Q2. So let’s say if you remove Q2 then Q1, Q3, how has been the growth in Rajasthan market in terms of volume? If you can give some flavor on. That
Paramjit Singh Gill
3 ish 3 at this point of time q3 is 3. There is also an impact of. You know you will note sir that we have called out, I think even in the last Q2 one we had announced that Delhi policy is coming to an end. So as of now there is no sale in Delhi of any company because the policy has concluded and the excise has not released the new for the policy unfortunately. And West Bengal obviously is undergoing the transition which will in the medium term which will be very beneficial to us. As a result these both these states having no volume contribution or top line contribution, it has that short term impact on the business.
But we hold our overall guidance of mid single digit.
Sarvesh Gupta
Okay. You also mentioned about, you know, significant margin increase once the UP distillery will come up. So that is going to be only on the. On the RNO sales that we are doing on UP or what will be the base over which this margin expansion will play out?
Shekhar Swarup
It will play out on RNO and pna.
Sarvesh Gupta
Okay. So it will play out on both RNO and PNA sales which we are doing currently in up.
Shekhar Swarup
Yes.
Paramjit Singh Gill
Current and future sales.
Sarvesh Gupta
Okay. Okay. And sir, on the fundraising side, unless we have a inorganic opportunity inside, given that now the bad times that we had in manufacturing, now that is turning around and that should positively contribute to the cash flows. And given that we don’t have any future capex requirement coming from manufacturing, so in absence of any inorganic opportunity, why there should be any fundraising requirement for the company as such.
Shekhar Swarup
So currently in the IMFL business, the way it’s growing as well as poised to grow, of course we’ve had a couple of quarters of setback in Delhi. But you know, leaving aside that Param mentioned that the growth in all other states has been completely on track, there is a need to, you know, be a little more aggressive on investments behind the consumer business both in terms of working capital as well as advertising opportunities. Our entire aggression currently is based entirely on raw material price movements.
So once raw material price comes down, our aggression increases. Raw material prices go up, our aggression reduces. And that kind of strategy is not, you know, as we are now shaping up the future of states of the consumer business in the new states that we’re entering. So that is the reason strategically for doing the fundraise.
Sarvesh Gupta
Okay. What is the net debt that we have right now, sir?
Unidentified Participant
570 crores.
Sarvesh Gupta
570.
Unidentified Participant
Yeah.
Sarvesh Gupta
Okay, sir, thank you sir. And all the best.
Operator
Thank you. The next question comes from the line of Himanshu Shah with 12 capital. Please go ahead.
Himanshu Shah
So just a follow up on would promoters be participating in QIP.
Shekhar Swarup
As of now? There is no commitment either ways. So you know, I currently can’t speak on behalf of the promoter bloc. Let’s see how things shape up.
Himanshu Shah
Sure. That from my side. Thank you and all the best.
Operator
Thank you. Next question comes from the line of Nishant Bhatt with Equity Works limited. Please go ahead.
Nishant Bhat
Yeah. Am I audible, sir?
Shekhar Swarup
Yes.
Nishant Bhat
Yeah. So my question was regarding the PNA segment. So currently my question was like when can we expect a breakeven in this segment? Can we expect a breakeven in this financial year? Because I think we are very close. To Breakeven and. I guess within two to three quarters it should turn positive. Am I right in my assessment?
Shekhar Swarup
Yeah, I. I believe so. Param, do you want to talk about it? Yeah,
Paramjit Singh Gill
Yeah. See, the way, if you will recall, since the inception of our journey we’ve been saying is that each individual market in its third full year will start accruing and will become profitable and new markets will continue to add and they will obviously need investments. And as we keep grow, pursuing aggressive growth, these investments will continue to feed into it. Overall, we have shared that where our journey is, that from a position of where we started, we are now almost in the zone of, you know, very close to breakeven.
It is very difficult to start predicting quarter on quarter on the growth that how soon we will break even because it is the aggression at which we will grow the existing states paralleled by an aggression with which we will continue to find new geographies and invest there. So my take here is that overall, as far as we continue to drive growth and keep moving towards profitability, profitability is just a function of the journey. Our individual margins basis, the strategy that we are using on choosing brands, segments, geographies and our right to win are in the zone of 40% already, which is in the zone of best in class, 45% across leading brands and companies.
So I think these are the parameters where we would like to anchor our business on. And sooner than later you will see that we will breach the line.
Nishant Bhat
I think so. My question was again on the PNS segment itself, see, majority of the players. Have a very decent margin somewhere near 15 to 17%. Like, but because we are in like fully integrated player, like can we expect, you know, and you know, margin which can be greater than this particular price band. Over the years.
Shekhar Swarup
Our ANP spends are significantly higher than competitors. On the other hand, our gross margins are in line with competitors. We expect that by FY29 our EBITDA margins will be in line with competitors even though our A and P will be higher than competitors in FY29. And that is, that is the strength of our integrated model.
Paramjit Singh Gill
We would not want to make any projections or predictions beyond that because we have benchmarks. Our first large pit stop at F29 where we have declared we will be between 15 to 17% EBITDA.
Nishant Bhat
Got it? Yeah, that’s something. Thank you.
Operator
Thank you. Next question comes from the line of Raman KB with Sequent Investments. Please go ahead.
Nishant Bhat
Hello, sir, can you hear me?
Shekhar Swarup
Yes, please go ahead.
Nishant Bhat
Yes, sir. Sir, I just want to understand or I have three questions. One is with respect to the upcoming UP distillery facility. From what I can observe over the past two quarters, we are able to do around 50 to 52 million liter per quarter of sale in terms of manufacturing business. That is 8 ENA and ethanol. So once this up facility comes in in Q4, how, how much will be the incremental sale in terms of manufacturing business once the CP distillery commences in FY27?
Shekhar Swarup
Yeah, just a second. About 20 million liters. 15 to 20 million liters more
Nishant Bhat
Per quarter.
Shekhar Swarup
Per year.
Nishant Bhat
Per year. So and you, you have given the guidance of around 80% utilization. 80 to 85% utilization. That is including this new facility, right?
Shekhar Swarup
Yeah, yeah, yeah. So this 20, 20 million is at about 90% capacity utilization. So 15 to 20. Yes.
Nishant Bhat
So and my second question is I just want to understand growth of your consumer business in terms of volume or sales. If you can give a ballpark figure for FY27, you have given with respect to consumer business, I think mid single digit volume growth. And what about the prestige and above, will it continue to grow at 15%?
Shekhar Swarup
No. So we have not given any guidance for 27 and 28. We’ve given a guidance for 29 for our P and A business. We’ve done an R and O volume guidance and revenue revenue guidance of mid single digits year on year for the manufacturing business. The reason it is hard to give a revenue growth run rate is because that business, the realization is dependent on raw material price. So you could have periods of, you know even de growth in revenues. But capacity utilization and EBITDA margins, those are the main ways to monitor that business.
So 80 to 85% capacity utilization with 5 to 7 rupees EBITDA margin regardless of revenue growth or decrease. However, in FY27 revenue is going to grow because of new capacity coming in. And this is last increase of capacity that is expected going forward.
Nishant Bhat
Understood. So. Hello.
Shekhar Swarup
Yeah.
Nishant Bhat
Hello. Can you hear me?
Shekhar Swarup
Yes.
Nishant Bhat
Yeah. Yes sir. So my final question is with respect to the QIP. We have received an approval of 500 crores of QRP. I just want to understand if you can give us a ballpark figures where we’ll be using this funds for.
Shekhar Swarup
So the. The upper limit is 500. Our requirement is lower than that. The fund will be utilized, as I mentioned earlier for growing our consumer business. It will be utilized for working capital as well as for increasing our malt whiskey inventory in maturation.
Nishant Bhat
So can you explain the last part of it? Increasing the.
Shekhar Swarup
So you know, for our single malts Given the expected growth rates of the single malt whiskey brand, we need to increase our inventory of whiskey in maturation available after few years for bottling.
Nishant Bhat
After a few years, what’s the last word
Shekhar Swarup
For bottling?
Nishant Bhat
Okay, understood sir. Thank you sir.
Operator
Thank you. Next question comes from the line of Dhaval Dharma with Enigma Small opportunities funds. Please go by.
Unidentified Participant
Hi sir. Thank you so much sir. Just wanted to understand. Basically recently, I don’t know there, there has been some buzz that OMCs have started reducing the offtake of ethanol. So do we have any color on that or. Our agreements are still in place for the next one year and we are pretty confident in terms of volume outlook over the same.
Shekhar Swarup
We are confident of 80 to 85% capacity utilization between ENA and ethanol. So you know, within this we do not see any significant threat. Yes, I have also been hearing that ONCs are reducing volume uptake. But so far we are not impacted and our contracts are in place for the capacity utilization guidance that I have provided you.
Unidentified Participant
Okay. And sir, I think that would be great if you can just give us some more color in terms of the impact of Delhi. Because I think at the beginning of the the current financial year for FY26, we were confident of delivering a much higher number in terms of revenue, at least on the PNA segment. So would it be possible for you to provide some more color on that in terms of how the recovery is shaping up? What was the bottom that we hit in terms of volumes in Delhi and how things could shape up from here on?
Paramjit Singh Gill
So
Shekhar Swarup
Param, could you take that?
Unidentified Participant
Yeah,
Paramjit Singh Gill
Yeah, yeah, thanks. Thanks for the question. As we have already called out the, the revenue growth excluding Delhi. To give you a fair idea of the impact of Delhi in terms of how the business is shaping up. We expect January to March quarter to totally normalize Delhi. We are already begun our journey of normalizing Delhi in the last month of the previous quarter. And while we do not release individual state wise volumes or growth, sure we are, we are collectively obviously Delhi still being one of the early three states and being a reasonable contributor to our journey.
When you start seeing the projection of 50% growth for Q4, we believe that it gives you sufficient confidence that Delhi will be totally normalized and back on track within this quarter.
Unidentified Participant
And so any, basically any timelines that we have in terms of getting into CSD or some duty free channels in terms of projecting the brand or increasing the awareness. So any color or any timelines on that.
Paramjit Singh Gill
So difficult to project timelines. But we are very Happy to share that we are pursuing both these verticals as we talk to you. We are, we are file is moving in CSD the first time. Entry into both these channels does take time over which we do not have enough control. And hence we cannot take the liberty of putting timelines. But we are also aggressively pursuing both these channels. And we hope to share good news with our investor partners sooner than later.
Unidentified Participant
Sure, sir. That’s it for my side. Thank
Unidentified Participant
You so much.
Operator
Thank you. Next question comes from the line of Chandrasekhar Sridhar with Fidelity International. Please go ahead.
Unidentified Participant
Hi gentlemen. Good afternoon. I just wanted to get some math clear in my head. We are sort of clocking about 210ish million liters in the manufacturing at this point in time. Param, you made a point that you will be able to do another 220. Another 20 million liters of external sale which is sort of maybe a 10% increase in additional volumes. So is that right? And if that were to be the case, how do we sort of get to your FY29 numbers in terms of your manufacturing sort of EBITDA even? So I just want to understand first if that is right and then if given that we’d be sort of 330 million capacity and you’re talking about 85% utilization, it doesn’t seem that there’s lot left which would be consuming internally.
So just trying to get the math around the site.
Shekhar Swarup
Hi, this is Shekhar. I’m sorry, I lost track of some of the numbers you mentioned. Our current capacity base is 330 million meters. We are adding another 30 million liters in Uttar Pradesh. So that takes it to 360. 85% of this is about 306 million liters of capacity.
Unidentified Participant
Right. Okay. So we will. I mean about 220. 230 is sort of for external sales. And the rest is sort of what we think we consume internally over a period of time.
Shekhar Swarup
Over a period of time. The internal consumption number. I know we’ve done a working on it. I don’t have it ready offhand. I can send you that breakup FY29. What is the internal consumption and external sales? I will send that to you.
Unidentified Participant
Sure. Thank you. Can we also get some sense on what’s the potential market share which you’re thinking about up over a three year view. I mean this is obviously a 120 million case market, much larger Rajasthan. But you do have some sense that by then up could be almost as large as the 10 million 11 million which you doing in Rajasthan.
Shekhar Swarup
Yeah,
Paramjit Singh Gill
Thanks for the question. So we have in our F29 projection anchored up at 5 million cases which, which pegs us, you know, even if the market does not grow and holds its volume, it pegs us 5% share and that’s the best breakup at this point of time on the table.
Unidentified Participant
Understood. Okay, thank you.
Paramjit Singh Gill
Thank you.
Operator
Thank you. Next question comes from the line of Vijay Shah with insightful investments. Please go ahead.
Vijay Shah
Hello. Am I audible?
Sarvesh Gupta
Yes, sir.
Vijay Shah
Yeah, thank you for the opportunity. Sir. Just two questions. One is currently we said our net Debt is about 5, 570 crores. Just one question. What kind of debt to EBITDA levels will you be comfortable over the next couple of years?
Shekhar Swarup
Do you have the working of debt going forward?
Unidentified Participant
It’s a working capital business. So next next few years while our long term debt will come down, but our working capital will increase with increase in IMFL business. So anything in the level of 2 or less is an ideal position on a debt to ebitda.
Vijay Shah
Okay, so you think two or less. And second is just one small clarification. We said that we will see sharp volume growth in Q4. Will that base number for last year’s Q4 change or that will remain constant?
Unidentified Participant
The base number for
Vijay Shah
This year, it’s already for this quarter. So just want to clarify upfront.
Unidentified Participant
No, no, no, that was a reclassification matter. Q4 base numbers will not change.
Vijay Shah
Okay, thank you so much.
Operator
Thank you. Next question comes from the line of Nishan Path with Equity Works Ltd. Please.
Nishant Bhat
This is just a follow up question I wanted to ask. See, we are seeing a trend that a lot of other companies are acquiring this homegrown distilleries as a, you know, inorganic acquisitions like ABD just acquired, I think Fullerton distilleries. Right. So similarly Param, are you seeing some. Some kind of opportunity for Globus over here to like. Because we are focusing on premiumization of our brands. Right. So that’s one question I wanted to ask
Paramjit Singh Gill
You.
Shekhar Swarup
You want to take it or you want
Paramjit Singh Gill
Me to take
Shekhar Swarup
It?
Paramjit Singh Gill
Shaker?
Shekhar Swarup
I can take it, no problem. So I think this is one area where Globus differentiates itself from a lot of the other companies out there, which is our internal capability to innovate and create products. A lot of the other companies need to acquire new products in order to get innovative products as part of their portfolio. However, we are able to create that innovation internally. Let me talk about a recent launch which is duab expression 02 matured in Japanese Mizunara Oak. This is the First Indian single malt whiskey to be matured in Japanese, Mizunara Oak.
Another product, Terai vodka, which is priced premium to absolute vodka in all states. This is the world’s first vodka to be filtered with amethyst crystals. And this is a technique created entirely in house. So a lot of our plans for innovative brands is based on internal innovation. On the other hand, coming to acquisitions, there may be opportunities to acquire regional brands that have distribution salience in certain geographies that we are not present in. So those are the kind of opportunities we would be interested in looking at.
Nishant Bhat
Got it. So we are confident on our basically branding and you know, in house capabilities. That’s what you are saying
Shekhar Swarup
For the FY29 plan. Yes.
Nishant Bhat
Got it. And see, this is just a suggestion because I can see you have been, you know, creating wonderful brands but we don’t see it in social media. This Doab especially, it was a market in YouTube. I see a lot of other reviews also. Like there are some other companies which are marketing. I don’t see your products even Terra Amethyst, it has such a very, you know, catchy kind of, you know, bottle design and the amethyst crystals as well, you know, so. But I don’t see it in social media. That’s, that’s the suggestion I wanted to give.
So you, you can go aggressive because. You have mostly the target is on. You know, the younger audience. Right. So some experimental consumer events, you know, live concerts. That kind of, you know, marketing you guys can do. Because I think the brand actually hits. With the young consumers more. I see many of my friends consuming terajin. That’s why this was just a suggestion to add on.
Shekhar Swarup
So thank you for that suggestion. And. Our A and P spends are based on the need for the business in the markets that we are present in. So they are prioritized according to that. And as the priority for social media increases, we will increase our spend in that channel. But yes, thank you very much for the suggestion.
Nishant Bhat
That’s all from me, sir. Thank you.
Operator
Thank you. Ladies and gentlemen. Due to time constraints we have reached the end of question and answer session. I would now like to hand the conference over to Mr. Shaker Swaroop joined MD for closing comments.
Shekhar Swarup
Thank you everyone for joining today’s call. As always, we remain available for any further questions you may have. Please do reach out to us directly or to our investor relations agency. Stellar. Thank you again and have a good evening.
Operator
Thank you. On behalf of Globus Spirits Ltd. That concludes this conference. Thank you for joining us. You may now disconnect your lens.