A micro-cap brewer and distiller, known for its alcoholic beverages, saw its stock surge 2 percent today. This jump follows the announcement of an extraordinarily ambitious expansion drive.
The company plans to invest a massive Rs. 1,800 crore, nearly four times its current market value, to significantly boost production capacity for spirits, beer, and craft beer across India and abroad.
Cupid Breweries & Distilleries Limited’s stock, with a market capitalisation of Rs. 486.35 crores, rose to Rs. 93.56, hitting the intraday upper circuit of 2 percent from its previous closing price of Rs. 91.73. Furthermore, the stock over the past year has given a return of 264.5 percent.
Capex Plans
The company plans to expand production to 175 million litres of spirit, 180 million litres of beer, and 7 million litres of craft beer through contract bottlers across India and abroad, with an estimated investment of Rs. 1,800 crore.
Q4 Financial Highlight
In Q4FY25, the company reported revenue of Rs. 0.12 crore, marking a sharp decline of 86.7 percent YoY from Rs. 0.91 crore in Q4FY24 and down 78.7 percent QoQ from Rs. 0.57 crore in Q3FY25. This significant drop in topline performance indicates a sharp contraction in business activity during the quarter.
The company posted a net loss of Rs. 0.45 crore in Q4FY25, compared to a profit of Rs. 0.12 crore in Q4FY24 and Rs. 0.2 crore in Q3FY25. This marks a steep reversal in profitability both YoY and QoQ, reflecting operational challenges and possible cost pressures impacting the bottom line.
Industry Outlook
The Indian alcohol market, approx. valued at $200.0 billion in 2025, is projected to grow at a CAGR of 7.2 percent from 2025 to 2035, reaching an estimated $300.0 billion by 2035, following a 6.8 percent CAGR from 2020 to 2025.
This growth is driven by shifting lifestyles, increasing urbanisation, and a youthful, urbanising population, with rising disposable incomes and changing cultural attitudes boosting demand, particularly among younger consumers and women.
The market is fuelled by a growing preference for premium and international brands, with spirits dominating over beer and wine due to regional availability and cultural preferences. The rise of cocktail culture, premium vodka, and experiential drinking trends, alongside modern retail channels like supermarkets, further propels expansion.
The future outlook is positive, with steady growth expected due to increasing middle-class spending power, premiumisation trends, and innovations in craft spirits and artisanal cocktails, though regulatory complexities and high taxes could pose challenges unless eased by potential trade agreements.
Written By Fazal Ul Vahab C H
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