Tata Consumer Products on February 2 reported a consolidated net profit of Rs 396.45 crore for the quarter ended December 2022, up 28 percent year-on-year (YoY) from Rs 287 crore in the same quarter last year.
Revenue from operations jumped 8 percent YoY to Rs 3,475 crore. As per a poll of brokerages conducted by Moneycontrol, the company was set to report post-tax profit of Rs 265 crore on a revenue of Rs 3,454 crore.
Consolidated EBITDA (earnings before interest, taxes, depreciation and amortization) came in at Rs 458 crore for the quarter, declining by 2 percent year-on-year. EBITDA margin at 13.1 percent was down 100 basis points from the year-ago period.
One basis point is one-hundredth of a percentage point.
ALSO READ: Buy Tata Consumer Product; target of Rs 940: Motilal Oswal
“We have balanced revenue growth and margins in an extremely challenging macroeconomic environment. While the branded tea business in India has been impacted by demand headwinds in some of our key markets, we are putting in place measures to address these challenges," said Sunil D’Souza, managing director and CEO of Tata Consumer Products.
"In our other core business of salt, we have continued to gain market share despite pricing actions taken to mitigate input cost inflation," he added, sharing that Tata Sampann, Tata Soulfull and NourishCo account for 13 percent of the company's India business.
Segment-wise performance
India packaged beverages business recorded 9 percent revenue decline YoY due to pricing corrections, demand slowdown and late onset of winter in North and East India. Meanwhile, India foods business registered 29 percent revenue growth and 4 percent volume growth.
NourishCo's revenue grew 66 percent YoY, with the launch of Tata Fruski Juice n Jelly, a drinkable jelly in select markets.
Meanwhile, Tata Starbucks recorded revenue growth of 42 percent YoY for the quarter, with 11 new store additions. And, international beverages business revenue grew 4 percent YoY, said the company in an earnings press release.
Discover the latest business news, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!