Transcript of Q1 FY 2026-27 Earnings Call.

SOM DISTILLERIES AND BREWERIES LIMITED Registered Office: I-A, Zee Plaza, Arjun Nagar, Safdarjung Enclave, Kamal Cinema Road, New Delhi - 110029 Phone: +91-11-26169909, 26169712 Fax: +91-11-26195897 Corporate Office: SOM House, 23, Zone II, M.P. Nagar, Bhopal, Madhya Pradesh – 462011 Phone: +91-755-4278827, 4271271 Fax: +91-755-2557470 Email : compliance@somindia.com Website: www.somindia.com CIN : L74899DL1993PLC052787 (BSE : 507514, NSE : SDBL) SDBL/BSE/NSE/2026-27 20.08.2026 The Manager, Dy. General Manager, Listing Department, Department of Corporate Services, NATIONAL STOCK EXCHANGE OF INDIA BSE LIMITED, LIMITED ‘Exchange Plaza’ C-1, Block G, 25th Floor, P.J. Towers, Bandra-Kurla Complex, Bandra (E), Dalal Street, Fort, Mumbai-400 051. Mumbai – 400001. cmlist@nse.co.in corp.compliance@bseindia.com Security Symbol: SDBL Security Code: 507514 SUB: TRANSCRIPT OF Q1 FY 2026-27 EARNINGS CALL Dear Sir/ Madam, Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed herewith the transcript of the Q1 FY27 Earnings Call held on Thursday, August 13, 2026, with regards to the Un-Audited Standalone and Consolidated Financial Results for the Q1 FY 2026-27. The transcript of the said Earnings Conference Call is also available on the Company's website i.e. www.somindia.com. This is for your information and records please. Thanking You, FOR SOM DISTILLERIES & BREWERIES LIMITED JITENDRA PARIHAR COMPANY SECRETARY & COMPLIANCE OFFICER MEM NO. – A40734 Encl.: As above “Som Distilleries & Breweries Limited Q1 FY27 Earnings Conference Call” August 13, 2026 MANAGEMENT: MR. DIWAKARAN SURYANARAYANA – CHIEF OPERATING OFFICER – SOM DISTILLERIES & BREWERIES LIMITED MR. NAKUL SETHI – DIRECTOR-FINANCE AND STRATEGY – SOM DISTILLERIES & BREWERIES LIMITED Page 1 of 15 Som Distilleries & Breweries Limited August 13, 2026 Moderator: Ladies and gentlemen, good day, and welcome to the Som Distilleries & Breweries Limited Q1 FY27 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 this conference call. Please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Diwakaran. Thank you, and over to you, sir. Diwakaran S.: Thank you. Good afternoon, everyone. My name is Diwakaran, and I'm the Chief Operating Officer of Som Distilleries & Breweries. Thank you very much for joining us for the Q1 2026- 2027 Earnings Call of Som Distilleries & Breweries Limited. Let me begin by acknowledging that Q1 was an extremely difficult quarter for the company. The operational and regulatory disruption in Madhya Pradesh had a significant impact on our volumes and consequently on our financial performance. Despite the disruption in Madhya Pradesh, there are some positives, which is very good. We saw a strong rebound in Karnataka with improving demand and market share. Odisha also delivered a strong recovery, demonstrating the resilience of our brands and distribution network. These trends are encouraging and give us confidence that the underlying business remains strong as market conditions normalize. A major milestone during the quarter was the successful commissioning and commencement of commercial production at our Uttar Pradesh unit, brewery. The facility adds approximately 10 million cases of annual beer capacity, giving us a significant new manufacturing and marketing -- market access platform. Our focus now shifts from commissioning to ramp-up, capacity utilization and market penetration. From an operating perspective, beer continues to be our core earnings engine with 45 lakh beer cases sold during the quarter. Beer represented approximately 98.9% of our total volume and 93% of our revenue. On the IMFL side, realization improved by approximately 3% year-on-year to INR1,047 per case, reflecting the increasing focus on higher-value products. So while Q1 was undoubtedly a challenging phase, we believe there are several positive indicators beneath the reported numbers like recovery in Karnataka and Orissa, the successful commissioning of UP, disciplined leverage and continued investment in our brands and premiumization strategy. Our priorities for the balance of year 2026, 2027 are clear: restore normal operations at Madhya Pradesh, sustain the recovery in Karnataka and Odisha, ramp up the UP facility, improve capacity utilization, strengthen our premium portfolio and convert the early signs of recovery into sustainable volume and profitable growth. We remain confident in the underlying strength of the business with our expanded manufacturing footprint, improving market conditions and a disciplined balance sheet. We Page 2 of 15 Som Distilleries & Breweries Limited August 13, 2026 believe Som is well positioned for a meaningful revival as we move through full year 2026, 2027. With this, I will hand over to Nakul to take you through the financial and operational performance in greater detail. Over to Nakul. Nakul Sethi: Consolidated volumes for the quarter stood at 45.79 lakh cases with a total income of INR268.8 crores and EBITDA stood at INR15.2 crores. However, we believe these numbers need to be viewed in the context of the specific challenges faced during the quarter and not as a reflection of the underlying potential of the business. I would also like to highlight the strength and resilience of our balance sheet. Despite the commissioning of the UP facility and a difficult operating environment, gross debt increased by only INR10 crores during the quarter with gross debt to equity ratio moving marginally from 0.3x in March 2026 to 0.31x in June 2026. We have therefore added significant manufacturing capacity without any material increase in our leverage. More importantly, cash generation remains healthy. We generated close to INR28 crores of cash from operations during the quarter. This is an important indicator of the underlying financial strength of our business. Even in a challenging quarter, we have continued to generate operating cash while maintaining disciplined leverage and investing in our future capacity. Despite the disruption in Madhya Pradesh, our other operating businesses continue to demonstrate resilience. The Hassan facility operated at approximately 60% capacity utilization, while the Odisha facility operated at around 70% capacity utilization. As we speak, we have invested close to INR300 crores in the UP brewery. And importantly, this investment has been made without taking any external debt. We have therefore created a substantial new manufacturing platform and expanded our capacity while maintaining a disciplined approach to leases. With this, we would like to now move on to the Q&A session. Moderator: Thank you very much. We will begin the question-and-answer session. The first question is from the line of Sucrit Patil from Eyesight Fintrade Private Limited. Sucrit Patil: Good afternoon to the tea. I have two questions. My first question to Mr. Diwakaran. Just want to understand on the operational side, what are the key priorities you are focusing in terms of manufacturing efficiency, supply chain growth and compliance? And what risk do you see in raw material sourcing, regulatory frameworks or demand volatility? And how are you preparing to mitigate that? Just want to understand the forward-guidance on this. Management: I think the question is a little long. Can you briefly tell me one after the other, please? Sucrit Patil: Yes. I just want to understand forward guidance on how are you going to -- on the operational playbook thing? And how are you going to strengthen the production, improve efficiency and Page 3 of 15 Som Distilleries & Breweries Limited August 13, 2026 ensure compliance while preparing for risk in raw mat [Showing first 8,000 characters — download PDF for full document]