Indian appetite for pizzas and burgers wanes: Domino’s and McDonald’s franchisee results reflect decline in dining out trends

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February 1, 2024

As per a Reuters report, there has been a decline in the frequency of Indians dining out for pizzas and burgers, as indicated by the third-quarter results of local franchisees of Domino’s and McDonald’s on Wednesday. Analysts have pointed out that intense competition and inflation suppressing demand are likely to exert pressure on their earnings in the short term.

Jubilant Foodworks, the operator of Domino’s restaurants, reported an unexpected fall in profits, while Westlife Foodworld, which manages McDonald’s restaurants in south and west India, posted a larger-than-anticipated decline in profits.

Continue Exploring: Jubilant Foodworks records 18.2% decline in net profit at INR 65.70 Crore for Q3 FY24

Despite quick-service restaurant (QSR) operators in the country implementing various strategies such as introducing more affordable menu options, offering increased discounts, and reducing packaging costs, their efforts to boost demand and encourage more frequent dining out among Indians have proven unsuccessful amid high inflation.

These companies were among the major beneficiaries during the festive season last year, as Indians started to dine out more frequently following several pandemic-affected years.

The demand slowdown after 2023’s high base has not only dragged their earnings but has also resulted in negative same-store-sales growth (SSSG), deviating from the usual 5%.

Although the weakness in demand “may be approaching the bottom,” reaching the earlier levels of same-store-sales growth (SSSG) is unlikely for the industry, according to Karan Taurani, an analyst at Elara Capital.

Amnish Agarwal, an analyst at Prabhudas Lilladher, suggests that the margins of the two companies are not expected to experience a “significant recovery.” Taurani also adds that escalating competition from smaller players will continue to keep margins “strained.”

Jubilant reported a profit of 657.1 million rupees ($7.9 million), marking the fifth consecutive quarter of decline and significantly below analyst estimates of 902.6 million rupees. Additionally, its revenue growth decelerated for the seventh consecutive quarter.

Meanwhile, Westlife reported its first decline in revenue in three years. Its profit of 172.4 million rupees fell significantly short of analyst estimates, which projected 331.1 million rupees, according to LSEG data.

Continue Exploring: Swiggy reports robust 40% revenue growth to INR 8,264 Cr in FY23, despite net loss crossing INR 4,000 Crore mark

Interim budget 2024 falls short on immediate rural consumption revival, companies pin hopes on long-term impact through rural housing and post-harvest initiatives

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February 1, 2024

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Consumer goods companies have indicated that, while the interim budget may not promptly initiate a consumption revival, an enhanced emphasis on rural housing and post-harvest activities could potentially stimulate demand for daily household products and groceries in villages over the long term.

The overall growth of the fast-moving consumer goods segment has been hampered by sluggish demand in rural markets for the past two years. Companies suggest that rather than relying on budget incentives, a normal monsoon and a successful harvest could accelerate the recovery of rural areas.

“The budget was not a booster dose to recover things immediately, but more of a vision on how the economy will shape up in the next five years,” said Angshu Mallick, chief executive of edible oil major Adani Wilmar.

“Rural income recovery in the short term will be dependent on agriculture production and this year’s monsoon,” he added.

In the last ten years, the sales of branded daily necessities in the country of 1.4 billion people have become increasingly dependent on rural India. With over 800 million residents, the purchasing patterns in rural areas are closely tied to agricultural output. For instance, the rural regions, constituting nearly 40% of the entire FMCG market, experienced a significant decline in demand for a year, attributed to inflation and unpredictable monsoons.

Finance Minister Nirmala Sitharaman stated that they are close to achieving the target of three crore under the rural housing scheme. Additionally, two crore more houses are planned for construction in the next five years under Pradhan Mantri Awas Yojna – Gramin. Consumer goods companies believe that rural income will improve in the mid-to-long term.

Continue Exploring: Finance Minister Nirmala Sitharaman prioritizes farmers’ welfare and rural demand in Interim Budget, highlights direct financial aid initiatives

B Krishna Rao, senior category head at Parle Products, mentioned that the interim budget has addressed nearly all consumption classes in rural India, including agriculture, dairy farmers, and women. However, he emphasized that it will take some time for real income to increase as these measures require time for implementation.

“These will result in consumption increase in the next 2-5 years,” he said.

The budget also presented a broad framework for amplifying government spending across various schemes targeting farmers, women, self-help groups, and youth. Furthermore, there is a proposal to augment the allocation for programs like the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGA). In the upcoming fiscal year 2024-25, the allocation under MGNREGA is set to increase by 43%, reaching INR 86,000 crore.

Aasif Malbari, the Chief Financial Officer at Godrej Consumer Products, expressed positivity about the interim budget’s commitment to fiscal consolidation. He sees it as a favorable indicator for overall economic growth, anticipating a potential boost to consumption patterns in the long term. Malbari also noted that the emphasis on improving connectivity and infrastructure is advantageous for the FMCG sector.

Sales of items such as refrigerators, washing machines, and televisions also rely on rural areas, accounting for approximately 30-40% of the overall market share.

Kamal Nandi, the business head of Godrej Appliances, stated that the interim budget has set the groundwork for enhancing rural income and discretionary spending in the medium to long term.

“At present, inflation is affecting discretionary spending where some actions would have helped,” he said.

While rural demand, which was previously growing at twice the rate of urban areas, experienced a decline last year, it is still growing at a slower pace compared to cities. For instance, during the quarter ending in December, the rural market expanded by 1%, whereas urban areas witnessed a 3% growth in terms of volume, reflecting the actual number of products people added to their shopping baskets.

Roosevelt Dsouza, Head of Customer Success for India at NielsenIQ, an FMCG industry researcher, expressed that initiatives providing free food for rural India and employment opportunities have the potential to raise disposable incomes, consequently leading to an increase in expenditures on discretionary products.

“The emphasis on improved living standards through initiatives in housing, education, tourism, and loan schemes underscores a dedicated focus on consumer and industrial upliftment. The substantial increase in capital expenditure is poised to enhance existing infrastructure, stimulating production and generating employment opportunities in both urban and rural India,” said Dsouza.

Dsouza mentioned that the FMCG industry, especially in the food sector, received positive backing with plans aimed at achieving self-sufficiency in oilseeds. According to him, this could influence edible oil prices and consumption patterns.

Continue Exploring: Budget 2024: Govt approves extension of export incentive scheme for apparel and garments till March 2026

NASVI to host India’s first ‘zero waste’ hyper-local street food festival in Noida, showcasing culinary delights and handicrafts

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February 1, 2024

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The National Association of Street Vendors of India (NASVI) is set to host the “Noida Utsav,” a hyper-local street food festival in Noida from February 2 to 4. This event will bring together a diverse array of street food from across the country, consolidating them under one roof. NASVI, known for organizing the National Street Food Festival in Delhi for the past 13 years, is spearheading this initiative.

In collaboration with SIDBI (Small Industries Development Bank of India), the organizers announced that the three-day festival will take place at Noida Haat in Sector 32 from noon to 10 pm.

“After organising the festival in the national capital since 2009, we have decided to bring it to other cities, starting with Noida, in order to widen our horizons and offer more opportunities to micro entrepreneurs. The Noida Utsav will not only include street food vendors from across the country but also handicraft artisans in order to offer visitors an experience of shopping and savoring street delicacies, under one roof,” said Sangeeta Singh, street food programme head, NASVI.

Visitors will have access to a variety of street foods, including aloo chaat, malai kebab, afghani kebab, tava chicken litti, malaiya makhan, and kesariya doodh, as well as a selection of handicraft products such as carpets, khadi garments, tarkashi woodwork, and terracotta artifacts, she added.

The organizers asserted that the event would be a food festival with zero waste.

“This is going to be the first ‘zero waste food festival’ in Uttar Pradesh where no street food vendor will use any single-use plastic. We will provide all vendors leaf-based, wooden, and bamboo cutlery, and recyclable plastic containers. Every piece of waste will be segregated, and the organic will go for composting, while the package material will be sent for recycling. Materials that cannot be recycled or composted will be sent for up-cycling,” said Sanjay Gupta, a waste management expert working with the organisers.

Continue Exploring: Godrej’s 2023 Food Trends Report unveils India’s hottest street food destinations

Arbind Singh, the national coordinator for NASVI, stated that the festival seeks to promote street food vendors both nationally and internationally, offering them improved livelihood opportunities.

“Through Noida Utsav, street food vendors as well as budding artisans and performers will get a chance to showcase their talents. There will be 50 vendors from across the country putting up stalls at the festival. Panel discussions will also be held to provide training to micro entrepreneurs and make them aware about better market understanding, mudra loans, and other schemes of the government,” said Singh.

Sugar stocks trade with mixed fortunes as Finance Minister omits sector from Budget speech

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February 1, 2024

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Sugar stocks displayed a mixed performance on February 1 as Finance Minister Nirmala Sitharaman omitted any reference to concessions sought by the sugar industry in her address.

While EID Parry recorded an increase of over 5 percent in its trading, Balrampur Chini Mills, Shri Renuka Sugars, and Bajaj Hindusthan all saw declines of up to 3 percent.

In December 2023, the government temporarily prohibited and later permitted the utilization of sugarcane juice and B-heavy molasses for ethanol production. However, the diversion of sugar was capped until the conclusion of the 2023-24 sugar season, which ends in September of the current year.

Continue Exploring: Sugar stocks rally with an 8% boost after India’s revoked ban on sugarcane juice for ethanol production

The government also recently introduced an incentive for ethanol produced from maize, indicating its reluctance to redirect significant amounts of sugarcane for ethanol production. The diversion of sugarcane sucrose for ethanol could result in an increase in sugar prices, an outcome undesirable for the government, especially in an election year.

During the pre-Budget survey, the Indian Sugar Mills Association (ISMA), a lobbying group representing sugar producers, expressed its desire for the government to permit an extra 10-12 lakh tonnes of sucrose diversion for ethanol production. They argued that even with the allowance for additional sugar to be used in ethanol production, the closing sugar balance would still be adequate for the initial months of the upcoming season.

Additionally, they emphasized that the sugarcane crop exhibited greater efficiency in terms of water, nutrient, and land use, as well as carbon sequestration, in comparison to maize. Consequently, they argued that sugarcane deserved greater support from the government.

The lobbying group also urged the government to increase the procurement cost of ethanol derived from sugarcane juice/syrup, B-Heavy Molasses, and C-Heavy Molasses.

Moreover, the industry sought an increase in the minimum support price (MSP) of sugar, proposing a raise to INR 38 per kg from the existing INR 31 per kg.

The government set the minimum support price (MSP) for sugar at INR 31 per kg in February 2019, and this rate had remained constant since. In contrast, the fair and remunerative price (FRP), which sugar mills are obligated to pay sugarcane farmers, increased from INR 2,550 per tonne in 2017-18 to INR 3,050 per tonne for the 2022-23 period.

Continue Exploring: ISMA projects a 10% drop in India’s gross sugar output to 330.5 Lakh Tonnes for 2023-24 marketing year

Finance Minister Nirmala Sitharaman prioritizes farmers’ welfare and rural demand in Interim Budget, highlights direct financial aid initiatives

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February 1, 2024

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In the Interim Budget presented in the Lok Sabha on Thursday, Finance Minister Nirmala Sitharaman placed a strong emphasis on enhancing the welfare of farmers and boosting rural demand.

Describing farmers as ‘Annadata’ (providers of food), Sitharaman highlighted the regular increments in Minimum Support Prices for their agricultural produce.

Emphasizing the dedication to the agricultural sector, she stated that annually, through the PM-KISAN SAMMAN Yojana, direct financial aid reaches 11.8 crore farmers, encompassing both marginal and small-scale farmers. Additionally, crop insurance is extended to 4 crore farmers under the PM Fasal Bima Yojana.

These initiatives, coupled with other programs, seek to assist farmers in cultivating food for both the domestic and international markets, while free ration provisions extend benefits to 80 crore people.

The interim budget pledges to enhance value addition in agriculture, with a specific focus on increasing farmers’ income.

Continue Exploring: FMCG companies anticipate inflation-focused measures in upcoming budget to boost consumption and rural growth

Sitharaman committed to promoting both private and public investments in post-harvest activities, encompassing aggregation, modern storage, supply chains, processing, and branding. She envisioned inclusive growth and productivity, facilitated by policies centered around farmers, providing income support, risk coverage, and promoting technology through start-ups.

Emphasizing effective programs, Sitharaman brought up the Pradhan Mantri Formalisation of Micro Food Processing Enterprises Yojana, which has positively impacted 2.4 lakh Self-Help Groups (SHGs) and 60,000 individuals.

The Pradhan Mantri Kisan Sampada Yojana, credited with benefiting 38 lakh farmers and generating 10 lakh employment opportunities, along with the Electronic National Agriculture Market, which integrated 1361 mandis, were also praised for their significant contributions.

The Minister, while focusing on the rural economic landscape, mentioned that these initiatives, combined with the provision of essential commodities, have elevated actual income in rural areas. This addresses economic requirements, stimulates growth, and generates employment opportunities.

She also cited the Atma Nirbhar Oil Seeds Abhiyan, an initiative aimed at achieving self-reliance in oilseeds such as mustard, groundnut, sesame, soybean, and sunflower. She emphasized that this program will encompass research for high-yielding varieties, modern farming techniques, market linkages, procurement, value addition, and crop insurance.

Building on the success of Nano Urea, Sitharaman announced the expanded application of Nano DAP on various crops across all agro-climatic zones, reinforcing the government’s commitment to innovation and sustainable agriculture.

Budget 2024: Govt approves extension of export incentive scheme for apparel and garments till March 2026

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February 1, 2024

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The government on Thursday approved the extension of the RoSCTL (Rebate of State and Central Taxes and Levies) scheme for apparel, garments, and made-ups, maintaining its effectiveness until March 31, 2026. This initiative is geared towards compensating for state and central taxes and levies, complementing the rebates already provided under the duty drawback scheme for the export of apparel, garments, and made-ups.

“The Union Cabinet chaired by Prime Minister Narendra Modi approved the continuation of scheme for RoSCTL for export of apparel/garments and made-ups up to March 31, 2026,” an official statement said.

It said that the move will provide a stable policy regime which is essential for long-term trade planning, more so in the textiles sector where orders can be placed in advance for long-term delivery.

“The continuation of RoSCTL will ensure predictability and stability in policy regime, help remove the burden of taxes and levies and provide level-playing field on the principle that goods are exported and not domestic taxes,” it said.

The scheme was launched in 2020. Earlier it was extended till March 2024.

The present extension up to March 2026 would help in enhancing export competitiveness of garment and made-up sectors.

Continue Exploring: Apparel exporters lobby for tax incentives and GST uniformity in budget 2024 to stimulate domestic manufacturing

“It makes apparel/garments and made-up products cost-competitive and adopt the principle of zero-rated export. The other textile products not covered under the RoSCTL are eligible to avail the benefits under RoDTEP along with other products,” the statement said.

The scheme for Remission of Duties and Taxes on Exported Products (RoDTEP) provides for refund of taxes, duties and levies that are incurred by exporters in the process of manufacturing and distribution of goods and are not being reimbursed under any other mechanism at the Centre, state or local level.

The scheme is based on an internationally acceptable principle that taxes and duties should not be exported, to enable a level-playing field in the international market for exports.

“Hence, not only indirect taxes on inputs are to be rebated or reimbursed but also other un-refunded state and central taxes and levies are to be rebated,” it said.

Godrej Consumer Products reports 6% YoY rise in Q3 consolidated net profit to INR 581 Crore

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February 1, 2024

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In the December quarter, Godrej Consumer Products witnessed a 6% year-on-year (YoY) increase in its consolidated net profit, reaching INR 581 crore, compared to INR 546 crore recorded in the same quarter of the previous year.

Revenue from operations in the third quarter rose by 2% year-on-year (YoY) to INR 3,660 crore, impacted by the devaluation of the Naira and the Argentine Peso. This is in comparison to INR 3,599 crore recorded in the same quarter last year.

In the quarter ending December 2023, there was a 16% year-on-year (YoY) increase in Consolidated EBITDA, reaching INR 841 crore, with a corresponding improvement in margins to 23%. The company also disclosed a consolidated volume growth of 8% YoY for the same period.

“We continue to remain focused on driving volume-led growth along with healthy investments in our brands and improvement in profitability. We continue to have a strong balance sheet. We are on track in our journey to reduce wasted cost and are deploying this to drive profitable and sustainable volume growth across our portfolio through category development,” said Sudhir Sitapati, MD and CEO, Godrej Consumer.

Segment-wise, the home care volume growth remained stable at 5% during the reporting period. The non-mosquito portfolio demonstrated consistent strong performance, and notably, air fresheners recorded double-digit volume growth.

Continue Exploring: Godrej Agrovet and Malaysia’s Sime Darby eye collaborative venture for palm oil processing unit in Telangana

The personal care volumes in the third quarter witnessed a 2% rise. Among these, personal wash achieved mid-single-digit volume growth. Strong double-digit volume growth was observed in Magic Handwash, while hair color volumes recorded a double-digit increase, led by both Godrej Expert Rich Creme and Godrej Selfie Shampoo Hair Colour.

In terms of geography, the business volume in India experienced a 12% growth, with a 9% year-on-year increase in sales during the December quarter. Concurrently, in Indonesia, volumes surged by 9%, and sales showed growth of 8% in Indian Rupee terms and 7% in constant currency terms.

Sales in Africa, the USA, and the Middle East witnessed an 8% decline in Indian Rupee terms but showed a 14% growth in constant currency terms. On the other hand, Latin America and SAARC sales experienced a 45% decrease in INR terms, while demonstrating a remarkable 181% growth in constant currency terms.

On Wednesday, the shares of Godrej Consumer concluded 0.84% lower, settling at INR 1,162 on the NSE.

Continue Exploring: Godrej Food Trends Report reveals India’s ever-growing love for baked delights

Iconic restaurant chain Moti Mahal set to spice up the European market this year

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February 1, 2024

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Moti Mahal, a culinary brand with a rich 104-year history, announced its plan to enter the European market this year, as stated in a press release on Wednesday. The expansion strategy involves launching its restaurants in Europe, with the goal of introducing its celebrated tandoori cuisine to the region.

The company already boasts a presence in the USA, Africa, New Zealand, the Maldives, Colombo, and the Middle East.

Established in 1920 by Kundan Lal Gujral in Peshawar, undivided India, Moti Mahal underwent a significant transition following the partition of India in 1947. Subsequently, the restaurant relocated and established its new presence in Delhi.

Currently, the legacy of Moti Mahal is overseen by Gujral’s grandson, Monish Gujral, who manages its operations. The brand has extended its reach to encompass over 150 locations globally.

Continue Exploring: Delhi’s iconic restaurants engage in legal tussle over ‘Butter Chicken’ and ‘Dal Makhani’ origins

Flipkart revives same-day delivery service across 20 cities, taking on Amazon’s Prime model

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February 1, 2024

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The same-day ecommerce delivery service, pioneered by Amazon through its Prime subscription model in 2017, has recently witnessed a revival. Joining the fray on Thursday, is its rival Flipkart.

Flipkart has introduced same-day delivery services across 20 cities for a range of products, encompassing mobiles, fashion, beauty products, lifestyle items, books, home appliances, electronics, and more.

Among the cities covered are Ahmedabad, Bangalore, Bhubaneshwar, Coimbatore, Chennai, Delhi, Guwahati, Hyderabad, and Indore.

It’s worth noting that the company backed by Walmart initiated its same-day delivery service in 2014, covering 10 cities. However, it eventually discontinued the service. During that period, users were charged a shipping fee of INR 200.

With the new service, customers can have their orders delivered before midnight if placed by 1 PM, as stated by the company. The firm also announced plans to extend this feature to other cities in the upcoming months.

Last year, Flipkart announced investments in multiple fulfillment centers and advanced technological capabilities to improve the sorting of products, all geared towards enabling same-day delivery.

Months of meticulous planning were undertaken to ensure orders are fulfilled from the closest fulfillment center, thereby reducing transit times and optimizing the overall efficiency of the delivery process, as stated in the announcement.

“Considering that customers not just from metro cities but non-metros cities love to shop on Flipkart, we are working to provide same-day delivery to 20 cities, reinforcing our commitment to staying at the forefront of customer satisfaction. We will further scale it in the months to come, to include more cities and more categories including large appliances, to delight the customers,” said Hemant Badri, SVP, group head of supply chain, customer experience and recommerce business at Flipkart Group.

This development follows closely on the heels of Flipkart introducing its Unified Payments Interface (UPI) offering to an initial group of users, marking another stride in fortifying its foothold in the fintech sector.

Continue Exploring: Flipkart nears profitability amidst cost reduction measures and fintech expansion

In the midst of its business expansion, the company is anticipated to implement employee layoffs in the upcoming months.

According to a report from Moneycontrol, the company is reducing approximately 1,000 positions as part of its annual performance review process. This move is anticipated to result in a 5% reduction in the team size. Contrary to this, a previous report indicated that the layoffs would affect around 5-7% of the total workforce.

The company currently has a workforce of approximately 22,000 employees.

However, according to a source knowledgeable about the situation, the reported layoff figures are speculative. The source mentioned that the company regularly conducts performance reviews, and the results will only be revealed by the end of March-April.

Continue Exploring: Walmart-owned Flipkart initiates annual job cuts, targets 5-7% workforce reduction by April

In October last year, Flipkart introduced “Flipkart VIP” at an annual fee of INR 499, which is INR 500 lower than the cost of Amazon Prime membership. The membership entails complimentary same-day/next-day deliveries for VIP members in specific areas. However, the company did not specify whether one-day delivery is exclusively reserved for VIP members.

It is worth mentioning that with the rising prevalence of smartphones, the utilization of UPI and the broader digital payments infrastructure has surged in the country. Notably, in the most recent developments, Zomato, a major player in the foodtech industry, and the Indian arm of global digital payments startup Stripe have obtained approval from the RBI to operate as online payment aggregators.

Continue Exploring: Zomato’s ZPPL gets green light from RBI to operate as online payment aggregator

In FY23, Flipkart Internet Private Limited’s B2C segment allocated INR 6,571.2 Crores towards transportation expenses, marking a 30% rise from the previous fiscal year’s INR 5,045.6 Crores. The operating revenue for the year reached INR 14,845.8 Crores, reflecting a 42% increase compared to the INR 10,477.4 Crores generated in FY22. Kalyan Krishnamurthy, the group’s chief executive, expressed optimism about the company’s approach to profitability, citing a substantial reduction in monthly cash burn.

ITC sees untapped market potential for YiPPee! Noodles, aims for further growth in the North region

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February 1, 2024

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ITC, a diversified conglomerate, believes that there is additional potential to increase the market share of its Noodles segment under the YiPPee! brand in the North, particularly in regions where it currently has a relatively smaller presence.

YiPPee! holds the second position among noodle brands across India. The conglomerate’s Foods business remains dedicated to expanding in regions where there is still room for increasing market shares. Nestle India’s Maggi currently leads the Noodles segment.

“There are large regions of the North where we are still relatively smaller (in Noodles). So, we want to grow there going forward,” said Suresh Chand, Vice president & Head of Marketing, snacks, noodles & pasta, ITC Foods.

Chand emphasized that the company’s primary focus is on “product augmentation” to further enhance market share in the Noodles segment.

Continue Exploring: ITC launches new YiPPee! Wow Masala Noodles at INR 10 to rival Nestle’s Maggi

“Over the years we have done a very strong entry into this category. We have come up with a completely different proposition and we stand for long non-sticky noodles and there are veggies also that we have provided in the product. And it has given us extremely good results over the years. And very recently what we have done that along with Orange bucket (with differentiated taste), we have also come up with a product Wow Masala which is into the Yellow bucket. It has a better masala and even the quantity of the masala is more,” Chand said on Wednesday.

He made these remarks during an event where ITC’s “Sunfeast YiPPee!” and “Bingo!” revealed a strategic partnership with the Argentine Football Association (AFA) as their official regional sponsor.

Bingo! holds the top position in the Bridges segment of Snack Foods. Bingo! earlier had collaborations with Kerala Blasters Football Club and East Bengal FC.

According to Chand, Noodles and Snacks are sizable categories at the industry level.

“Because there is a lot of play by local and regional players also, these growths (for the company) need to now be further enhanced. And that is where these partnerships and your products would be important going forward,” he said.

As part of the collaboration with the Argentine Football Association (AFA), the respective brands have introduced packaging showcasing star players such as Lionel Messi, Ángel Di María, Julián Álvarez, and Emiliano Martínez.

“YiPPee! and “Bingo! are the categories where there is a lot of headroom still to grow in terms of penetration and average consumptions. There are a lot of avenues to grow. We have to continue to work on our brand building, consumer connect and distribution. I am quite hopeful that the growth will continue and we keep accelerating in these categories,” Chand said.

He added that Snacks, noodles, and pasta form a “significant portion” of ITC’s Food business.

Significantly, the conglomerate’s non-cigarette FMCG business experienced a 7.59 percent year-on-year growth in revenue, reaching INR 5,209.05 crore in the third quarter of this fiscal year. During the same period, the segment exhibited a 24 percent year-on-year growth in operating profit, totaling INR 431.82 crore. In its media statement following the announcement of results on Monday, the company noted that its non-cigarette FMCG business demonstrated resilience in performance amid a slowdown in consumer demand. Additionally, the segment’s EBITDA margins expanded by 100 basis points year on year, reaching 11 percent.

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