Tata Consumer Q4 earnings beat estimates, net profit rises 21% to Rs 290 crore

This was mainly driven by underlying growth of 15 percent in Indian business, 6 percent in international business, and 9 percent in non-branded business, the company said. CNBC-TV18 Polls had predicted revenue of Rs 3,528 crore for the quarter under review.

At the operating level, EBITDA increased 15.2 percent to Rs 511.6 crore in the fourth quarter of this fiscal over Rs 444.3 crore in the corresponding period in the previous fiscal.

The EBITDA margin stood at 14.1 percent in the reporting quarter against 14 percent in the corresponding period in the previous fiscal. EBITDA is earnings before interest, tax, depreciation, and amortisation.

Profit before exceptional items and tax, at Rs 456 crore, is 13 percent higher compared to the corresponding quarter of the previous year, reflecting strong growth in the India branded business and stable performance in international and non-branded business.

After considering exceptional items, the group's consolidated net profit at Rs 290 crore is higher by 21 percent. For FY23, the international beverages business revenue grew 8 percent and the company implemented price increases in all markets to mitigate inflation.

The company recorded strong revenue growth of 48 percent for the quarter, bringing FY23 growth to 71 percent, albeit on a base that was impacted by the pandemic. This was a landmark year for the business, as it reached four-digit in topline.

Also, it opened 71 new stores during the year and entered 15 new cities — the highest-ever annual store addition. This brought the total number of stores to 333 across 41 cities.

Sunil D'Souza, Managing Director and CEO of Tata Consumer Products, said the company delivered strong topline growth while balancing margins in an extremely volatile macro environment this fiscal.

He said, "Our innovation across categories has picked up pace significantly with the number of new product launches in FY23 being almost 2X of FY22. Our growth businesses (Tata Sampann, Tata Soulfull, and NourishCo) continued their strong growth trajectory and have increased their salience significantly over the past couple of years, accounting for 15 percent of India business this fiscal."

Shares of Tata Consumer Products Ltd ended at Rs 734.30, up by Rs 1.85, or 0.25 percent on the BSE.