Shares of Sula Vineyards soared 11% to Rs 389.75 in the opening trade on Wednesday after the company said its private labels grew 15% year-on-year in the March quarter (Q4FY23). Meanwhile, wine tourism grew 18% YoY in Q4FY23 and 30% in FY23 vs FY22.

On the National Stock Exchange, the stock was up 7% at Rs 377.10 in intraday trade. It hit a new 52-week high of Rs 432 on January 23, 2023.

Sula Vineyards is India’s largest and only listed wine producer with over 60% share of the Elite & Premium1 wine business.

The sales volume of the company’s own brand exceeded 1 million cases, and the sales volume of Elite & Premium wine exceeded 500,000 cases for the first time. The company’s brand and wine tourism business recorded its highest-ever annual revenue.

Sula Vineyards said its private label net revenue in Q4FY23 was Rs 104.3 crore, and wine tourism revenue was Rs 12.4 crore, including room revenue, food and beverage sales, merchandise and all other ancillary services.

The company’s wine tourism business continued to soar, with total revenue reaching Rs 80 crore in FY23 compared to Rs 44 crore in FY19. Looking ahead, management expects this to be a Rs 100 crore business in the coming year.

Last month, brokerage CLSA initiated coverage on Sula Vineyards with a “buy” call on the stock and a target price of Rs 475 per share.

The company raised Rs 960 crore in its initial public offering (IPO) by issuing shares at Rs 357 each. It will debut on the stock market on December 22, 2022. After debuting, the stock touched a low of Rs 305.35 on December 26, 2022.