Tata Consumer Net Profit Jumps 59% On Strong Branded Sales

Robust growth in branded sales across domestic and international markets helped Tata Consumer Products Ltd. post better-than-expected earnings for the March quarter. The company reported a 59.2% on year rise in consolidated net profit to ₹3.45 billion for January–March, its strongest growth in 11 quarters. Revenue rose 17.3% on year to ₹46.08 billion, its best in 15 quarters.

Sequentially, net profit rose 23.7% and revenue was up 3.7%. India branded business posted revenue of ₹29.40 billion, up from ₹24.80 billion a year ago, while international branded revenue rose to ₹11.90 billion from ₹10.50 billion.

In constant currency terms, consolidated sales grew 16.0% on year in January–Mar. Underlying volume growth in India branded business stood at 5.9% for the quarter and 4.5% for 2024-2025 (April–March), the company said in a release.

The India packaged beverages segment grew 9.0% on year, with volume up 2.0%. Overall India beverage sales rose 17.0% to ₹15.51 billion. The India foods business saw revenue grow 27.0% to ₹14.64 billion. Non-branded operations grew 25.0% to ₹5.01 billion.
International branded business continued its momentum with a 5.0% year-on-year increase in reported revenue to ₹11.04 billion. In constant currency terms, the growth was 2.0%.

Strong performance came from tea, coffee, and ready-to-drink beverages. In the India foods segment, salt revenue grew 13.0% on year, driven by value-added salt products, and market share rose by 30 basis points. The Tata Sampann staples business grew 30.0% on year.

Consolidated EBITDA for January–March stood at ₹6.25 billion, down 1.0% on year due to higher input costs. EBITDA margin fell 250 basis points to 13.6%. Input costs rose 19.0% on year to ₹18.70 billion, and total expenditure rose 21.0% to ₹41.80 billion. Depreciation and amortisation costs jumped 32.3% to ₹1.50 billion.

For 2024-2025, the company reported a consolidated net profit of ₹12.78 billion, up 11.0% on year, and revenue rose nearly 16.0% to ₹176.20 billion. Constant currency consolidated sales grew 15.0%, and India branded volume growth was 4.5%.

The board recommended a dividend of ₹8.25 per share.