Britannia Industries Ltd. Results

Q2FY25 Quarterly Result Announced for Britannia Industries Ltd.

Packaged Foods company Britannia Industries announced Q2FY25 results Consolidated Sales for Q2FY25 stands at Rs 4,566 crore, growing 4.5% over a 12-month period and Profit after Tax stands at Rs 531 crore, declining 9.6%. For Q2FY25, consolidated Sales grew 10.6% while the Profit after Tax grew 5.1%. For H1FY25, the Consolidated Sales grew 4.3% while the Profit after Tax declined 0.8% over H1FY24. Varun Berry, Vice Chairman & Managing Director, said: “A ~8% volume growth with a sequential increase in revenue and operating profits are satisfactory results in the face of severe commodity inflation leading to a tepid consumer demand scenario in most FMCG categories. In the context of steep rise in prices of key commodities such as Wheat, Palm, Cocoa etc, we demonstrated agility in initiating focused pricing actions and identifying new levers for cost optimization across the value-chain. As a result, we maintained a healthy operating margin of ~15.5% during the quarter. We are committed to investing in capability enhancement and brand development with the clear objective of driving market share and sustaining profits. Our agenda of being a “Total Global Foods Company” is progressing well with our adjacent businesses such as Croissant, Milk Shakes, Wafers and International growing at a healthy pace. Making strides in this direction, we are working on redefining our distribution strategy to optimize range distribution and improve outlet servicing, and the preliminary results of the pilots across 25 cities covering more than 50,000 outlets are encouraging. We reaffirm our commitment to our ESG framework of People, Growth, Governance and Resources and shall continue to focus on our initiatives to build a Sustainable and Profitable business.”

Q1FY25 Quarterly Result Announced for Britannia Industries Ltd.

Packaged Foods company Britannia Industries announced Q1FY25 results: Consolidated Sales for the Quarter ended 30th June 2024 stands at Rs 4,130 crore, growing 4.0% over last year Net Profit (Before Exceptional Items) stands at Rs 524 crore, growing at 14.5%. Commenting on the performance, Varun Berry, Vice Chairman & Managing Director, said: “We come out of a challenging financial year that witnessed consumption slowdown, particularly in Rural India. Our performance this quarter reflects the agile approach to a dynamic market environment and diligent market practices. We delivered a modest revenue growth of 4% during the quarter, driven by high single-digit volume growth, and improved operating margins over last year. Our market share progressed well as an outcome of sustained investments in Brands, Product excellence, and Innovation. We continue to make positive strides in Rural as we expand distribution footprint and enhance product offerings to align with regional preferences, and well positioned to benefit from the consumption growth in Rural. As a result, rural market share grew at a faster clip than Urban. We are actively leveraging the rapidly growing Modern Trade and E-commerce channels, both growing handsomely compared to previous year. Additionally, we introduced the Pure Magic Stars and Golmaal variant during the quarter, which have contributed to heightened consumer excitement and strengthened our brand franchisee. On Cost & Profitability front, we remain vigilant of the commodity price fluctuations & evolving geopolitical landscape. Our Cost Efficiency Program continues to yield operational savings, ensuring robust operating margins. We are committed to investing in capability enhancement and brand development while maintaining price competitiveness with the clear objective of driving market share and sustaining profits. We reaffirm our commitment to our ESG framework of People, Growth, Governance and Resources and shall continue to focus on our initiatives to build a Sustainable and Profitable business.”

Q4FY24 Quarterly & FY24 Annual Result Announced for Britannia Industries Ltd.

Packaged Foods company Britannia Industries announced Q4FY24 & FY24 results: Q4FY24 Financial Highlights: - Britannia's consolidated sales for the Q4FY24 stood at Rs 4,014 crore, marking a growth of 3.1% over the previous year. - The operating profit for the same quarter was Rs 708 crore, which is 17.6% of sales. FY24 Financial Highlights: - For the FY24, consolidated revenue reached Rs 16,546 crore, showing a 3.5% increase from the prior year. - The operating profit for the year grew by 10.1% to Rs 2,869 crore, which represents 17.3% of total sales. - The Board of Directors has recommended a final dividend of 7350%, which equates to Rs 73.5 per share with a face value of Re. 1/- each. Commenting on the performance, Varun Berry, Vice Chairman & Managing Director, said: “In a tepid consumption scenario, our performance this year signifies resilience and competitiveness. Over the past 24 months, we have achieved a strong 19% growth in revenue, accompanied by a notable 43% increase in operating profit. Our market share rebounded as the year progressed as a result of strategic pricing actions to maintain competitiveness and intensified investments in brands, supported by distribution expansion. We significantly expanded our distribution network, reaching approximately 27.9 lakh outlets directly and added around 2000 rural distributors over the past year. Our focus states surpassed other regions in terms of growth, despite a generally subdued rural demand. We bolstered our abilities to capitalize on rapidly growing channels like Modern Trade and Ecommerce, both of which experienced double-digit growth compared to the previous year. On Cost & Profitability front, we will stay vigilant of the commodity prices & evolving geopolitical landscape. Our Cost Efficiency Program continues to yield operational savings of ~2% of revenues, ensuring healthy operating margins. We will continue to invest behind our brands and stay price competitive with a clear objective of driving market share while sustaining profits. We remain committed to the ESG framework of People, Growth, Governance and Resources to build a sustainable and profitable business.”

Q3FY24 Quarterly & 9MFY24 Result Announced for Britannia Industries Ltd.

Packaged Foods company Britannia Industries announced Q3FY24 & 9MFY24 results: Financial Performance Highlights - Sales Growth: Britannia's consolidated sales for Q3FY24 grew by 2% YoY, reaching a total of Rs 4,192 crore. - Operating Profit: The operating profit stood at Rs 743 crore, which indicates a healthy operating margin of 17.7%. - Nine-Month Revenue and Profit: For 9MFY24, the consolidated revenue was Rs 12,532 crore, marking a growth of 3.6%. The operating profit for this period grew significantly by 15.6% to Rs 2,162 crore. Business Strategy and Expansion - Brand Investments: Britannia focused on capitalizing on its brand power and executed judicious price corrections to remain competitive and increase market share. - Rural Market Expansion: The company expanded its presence in the rural market by partnering with over 29,000 rural distributors; focus states saw higher growth compared to other regions. - New Product Offerings: The introduction of new products such as BeYou Bars, Makhanas, Jim Jam Pops, and unique cheese formats aimed at meeting consumer demand. Varun Berry, Vice Chairman & Managing Director of Britannia Industries, commented on the quarter's performance, stating, “In a progressively recovering demand environment with heightened competition, our performance this quarter reflects our resilience and competitiveness. Over the last 24 months, we achieved a robust 19% growth in revenue, coupled with a commendable 52% increase in operating profit. We capitalized on the power of our brands with requisite investments, and actioned judicious price corrections, which helped us maintain competitiveness and gain market share. We continued to expand our direct reach and accelerate our rural journey, partnering with more than 29,000 rural distributors during the quarter. As a result, our focus states outperformed other regions in terms of growth, despite a generally subdued rural demand. Our new offerings viz. BeYou Bars, Makhanas, Jim Jam Pops and unique cheese formats continued to excite & delight our consumers. Our international business performed extremely well with robust double-digit growths across key markets. On Cost & Profitability front, we will stay vigilant of the commodity prices & evolving geopolitical situation. We will continue to invest behind our brands and stay price competitive with a clear objective of driving market share while sustaining profitability. We remain committed to the ESG framework of People, Growth, Governance and Resources to build a sustainable and profitable business.”