Tata Consumer Products net profit rises 23.5% in January-March quarter

Tata Consumer Products net profit up 23.5 per cent at Rs 268.6 crore due to strong operational performance during the January-March quarter.

Its revenue was up 14 per cent at 3,618.7 crore during the quarter mainly driven by underlying growth of 15 per cent in India business, 6 per cent in international business, and 9 per cent in non-branded business.

“During the quarter, we saw early signs of green shoots in our branded tea business, with the interventions we put in place starting to yield positive results,” Sunil D’Souza, managing director & chief executive officer at Tata Consumer Products was quoted as saying in the release.

He added, “In our other core business of salt, we continued to execute strongly and have gained market share despite pricing actions taken to mitigate inflation. Our innovation across categories has picked up pace significantly with the number of new product launches in FY23 being almost 2X of FY22.”

The company’s growth businesses (Tata Sampann, Tata Soulfull, and NourishCo) continued its strong growth trajectory and have increased their salience significantly over the past couple of years, accounting for 15 per cent of India business in FY23.

Its cafe chain, Tata Starbucks, recorded a strong performance, hitting a 4-digit topline along with achieving its highest-ever number of annual store additions, D’Souza said.

The food major is also on track to achieve a total reach of four million outlets by this year.

“We are embedding digital transformation across the business and will be using this to drive decision-making in areas such as new product development, procurement, and revenue growth management,” D’Souza said and added that its transformation journey to becoming a leading FMCG company is on track and will continue to stay focused on driving profitable growth along with building future-ready capabilities.