On 08 January 2025, the company had informed about its decision to suspend the supply of its beer to TGBCL, with immediate effect.
“This decision of the company has arisen because (a) TGBCL has not revised the basic price of the company’s beer since 2019- 20, resulting in huge losses in the state and (b) significant overdues remaining unpaid by TGBCL for the past supply of beer by the company.
As a result, the continued supply of our beer to TGBCL has been rendered unviable,” UBL had said.
In a regulatory filing made during market hours today, the company stated that it has been in talks with TGBCL, and these have been constructive discussions. TGBCL has assured us to address our issues on pricing and outstanding payments in a time bound manner.
“Until we get more information, basis assurances, we have decided to restart our supplies to TGBCL for the time being. This is an interim decision in the interest of consumers, workers and stakeholders,” UBL said in a statement.
United Breweries, controlled by Dutch multinational company Heineken NV, is primarily engaged in the manufacture, purchase, and sale of beer and non-alcoholic beverages.
The company’s consolidated net profit jumped 23.2% YoY to Rs 132.17 crore in Q2 FY25. Net sales (excluding excise duty) increased 12% YoY to Rs 2,116.72 crore during the quarter.