Tata Consumer Products Q2 results: Net profit rises 11% to ₹397 crore, EBITDA jumps 7%, India business revenue advances 18%

Tata Consumer Products, the Tata Group's fast moving consumer goods company (FMCG), on Monday, November 3, reported net profit of ₹397 crore in the second quarter of current financial year, marking an upside of 11% from ₹359 crore in the same period last year.

Tata Consumer Products revenue from operations advanced 18% to ₹4,966 crore in July-September period from ₹4,214 crore a year earlier.

The company reported stable operational performance as its EBITDA (Earnings Before Interest, Taxes, Depreciation, And Amortization) also known as operating profit rose 7% to ₹672 crore from ₹626 crore, but its operating profit margin contracted by 130 basis points to 13.5%.

Tata Consumer Products in a regulatory filing reported that its revenue from Indian business jumped 18% to ₹3,122 crore and its revenue from international business advanced 15% to ₹1,288 crore.

"Operating performance of branded business improved driven by tapering of tea cost inflation in India partly offset by coffee cost inflation in International business and higher investments behind brands," Tata Consumer Products said.

“Non-Branded Business margins were impacted by reversals of fair value gains in previous year. Profit before exceptional items and tax at ₹523 Crores is higher by 23% as compared to the corresponding quarter of the previous year, on account of higher operating profits and lower finance costs.

India core business recorded second consecutive quarter of double-digit growth in both Tea and Salt, Tata Sampann continued its strong growth momentum and ready-to-drink (RTD) business delivered strong volume and value growth, Tata Consumer Products said in a press release.

“For the quarter, India packaged beverages business revenue grew 12%. Coffee continued its strong trajectory with a revenue growth of 56% for the quarter. Tata Tea Agni launched a category- first energy tea (with added caffeine) in select markets,” the Mumberi-based company said.

RTD (Ready to Drink) business delivered 25% revenue growth despite unseasonal rains and heightened competitive intensity

“We delivered a strong topline growth of 18% in Q2 FY26, with steady net profit growth. This was the 2nd consecutive quarter of double-digit growth in the India core business across both tea and salt. Tata Sampann continued its growth momentum and launched several new products during the quarter,” Sunil D’Souza, Managing Director & CEO of Tata Consumer Products said.

“The RTD business recorded robust growth despite unfavourable weather conditions. Despite the short-term challenges posed by the GST transition, Capital Foods and Organic India recorded steady growth on a combined basis and strengthened their portfolio with innovative launches,” D’Souza added.

Tata Consumer Products shares rose 0.7% to ₹1,173.25 after its earnings announcement.