Fast-moving consumer goods company Tata Consumer Products, which is the maker of iconic brands like Tata Tea, Tetley and Tata Salt, posted its September quarter (Q2FY22) results on Friday, 22 October 2021.
The company’s consolidated revenues (topline) stood at ₹3,033 crore, up 9% year-on-year. The company’s operating profit stood at ₹420 crore, which grew 5% year-on-year. Its consolidated net profit also grew 5% year-on-year and stood at ₹286 crore.
The revenue growth was mainly driven by India Foods and India Beverages segments, which grew 23% and 14%, respectively.
On the other hand, the company's International Beverages business remained flat on account of the higher base.
Revenues for Tata Starbucks were above the pre-pandemic levels. During the September quarter, 14 new stores were opened by the company.
The e-commerce channel grew 39% and it contributes almost 7% to the company’s domestic revenues.
The company said that on the one hand tea prices are under control, while on the other hand, inflationary trends are visible in packaging and freight costs.
The company plans to ward off this challenge by strengthening its operational efficiencies to grow its revenues.
In the current financial year, the company's share price has risen by 25%. On the other hand, the Nifty50 index has risen by almost 23%, which shows Tata Consumer’s performance is in line with the broader markets.