Tata Consumer Q4 results key takeaways: Net profit drops over 26%, revenue rises 9% YoY, Key takeaways

Tata Consumer Products Ltd on Tuesday, April 23, reported a 26.69% fall year-on-year (YoY) in consolidated net profit at ₹212.26 crore in the March quarter of the financial year 2023-24 due to the impact of exceptional items.

The Tata group company had reported a consolidated net profit of ₹289.56 crore in the March quarter of FY 2022-23.

Sequentially, net profit was down by nearly 30% compared to ₹301.51 in the December quarter.

The company reported a 9% growth in consolidated revenue from operations at ₹3,926.94 crore in the March quarter compared to ₹3,618.73 crore in Q4FY23, according to an exchange filing by the company.

"Exceptional item for the current quarter represents costs relating to scheme of arrangement of ₹91 crore, costs related to acquisitions of ₹10 crore, asset write-down of ₹62 crore and fair value loss on financial instruments of ₹53 crore," the filing mentioned.

Consolidated EBITDA (earnings before interest, tax, depreciation and amortisation) for the March quarter rose by 22% to ₹631 crore in the March quarter compared to the year-ago period.

Profit before exceptional items rose by 12% to ₹509 crore in the March quarter, the Tata group company said in a statement.

India business revenue up 10%; international business expands 6%

Tata Consumer Products Ltd (TCPL) said that the revenue growth was led by India business, which grew by 10% in the March quarter of FY24. India business revenue stood at ₹2,479.54 crore in Q4FY24 over the year ago period.

The company in a statement said that the India Packaged Beverages business delivered 2% revenue growth.

The company continued to retain market leadership in tea in the e-commerce channel while coffee continued its strong performance with a revenue growth of 45% for the quarter.

International business chipped in around ₹1,053 crore, up by 6% over the last quarter of FY23. In the UK, the company saw strong share gains across all major retail partners. In the USA, Tata Raasa (RTE range) got listed in 100 Stop & Shop stores during the quarter.

For Tata Starbucks, the company said it added 29 net new stores during the quarter and entered 6 new cities

Consolidated revenue up by 10% in FY 2023-24

TCPL posted around 10% fall in consolidated net profit to ₹1,215.4 crore in FY24 compared to ₹1,320.14 crore in the previous fiscal. Consolidated revenue from operations rose 10% to ₹15,205.85 crore in FY 2023-24 against ₹13,783.16 crore in FY 2022-23.

Tata Consumer announces final dividend of ₹7.75 per share for FY 24

The company said its board has recommended a final dividend of ₹7.75 per equity share of Re 1 each (775%) for the financial year 2023-24.

The dividend, if approved by the members at the ensuing 61st Annual General Meeting, will be paid/dispatched (subject to deduction of tax at source) after the AGM and within 30 days of its declaration.