Tata Consumer Products on Thursday reported a consolidated net profit of Rs 133.34 crore for the March quarter as against a loss of Rs 50 crore in the year-ago period, mainly on account of growth in revenue and good control over expenditure.
However, margins were impacted by tea cost inflation in India. The company's board has recommended a final dividend of Rs 4.05 per equity for the financial year 2020-21.
Its revenue from operations rose 26.2 per cent to Rs 3,037 crore from Rs 2,405 crore reported in the same quarter last year.
The company said it has an exceptional item for the current quarter mainly representing costs relating to the business restructure and reorganisation of Rs 18 crore and loss on disposal of an overseas subsidiary of Rs 46 crore.
“We delivered yet another Quarter of strong revenue growth, driven by double digit volume growth in India business. The integration of our food and beverage businesses in India is complete as committed and we have started seeing synergy benefits," said Sunil D’Souza, Managing Director & CEO of Tata Consumer Products.
"During the year, we have stepped up our distribution reach, invested behind our brands, and focused on premiumisation in our core portfolio. We continued the momentum in driving the Digital agenda with digitalization of channel partners, implementation of best in class ERP and a new integrated business planning system covering demand and supply planning," he said.
Segment wise, the revenues from India-Beverages and India-Foods came in at Rs 1204.8 crore and Rs 641.68 respectively. Meanwhile, Tata Starbucks recorded revenue a growth of 14 per cent for the quarter under review. It opened 39 new stores and entered 7 new cities during the year.
On Thursday, it's scrip rose 0.32 per cent to end at Rs 651.15 on NSE.
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