Tata Consumer Products reported an 8% rise in net profit for the quarter ending September 2024, reaching INR 364 crore, compared to INR 338 crore in the same period last year on Friday, August 18.
Tata’s PAT stands at INR 314 cr
According to ET, revenue from the operation for the quarter was INR 4,214 crore, up 13% from INR 3,734 crore in the same quarter last year. The profit after tax (PAT) stood at INR 314 crore. The fmcg major’s India beverages segment grew 3%, despite a 4% drop in tea volumes year-on-year. India Foods revenue increased by 28% (+9% organic growth). Overall volume growth for the quarter was 1%.
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However, the international business saw 7% revenue growth (5% in constant currency), with profitability up by over 53% year-on-year. Consolidated earnings before interest, taxes, depreciation and amortisation EBITDA grew 11%, though margins shrank by 30 bps to 14.9%, mainly due to higher input costs for the India tea business. As Tata Consumer’s revenue was below and stood at INR 4,340 crore.
NourishCo, Tata Soulfull and Tata Smart Foodz merge with Tata Consumer Products
Notably, the merger of Tata Consumer Products’ wholly-owned subsidiaries in India – NourishCo, Tata Soulfull, and Tata Smart Foodz – was successfully completed during the quarter. This aligns with the company’s plans to simplify, synergize, and expand its business.
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Furthermore, Tata Soulfull aims for high double-digit growth in the next 3-4 years. Prashant Parameswaran, president of Tata Soulfull, revealed that it has grown 60–100% each year since its acquisition in 2021.
For its next growth phase, Tata Soulfull is focusing on new categories and launching more innovative products. “This fiscal year, we are entering into an additional three to four sizable new categories. Most of the categories are INR 500 crore plus and one is north of a couple of thousands,” said Prashant to ET. He mentioned that all the new launches are planned for this quarter but didn’t share more details.
At present, Tata Starbucks has become the biggest operator of cafes in India with 457 cafes in 70 cities, as stated by the firm.
