In the fiscal year 2024, Tata Consumer Products said on Tuesday that its combined net profit for the quarter that concluded on March 31 was Rs 217 crore (Q4FY24). Compared to the Rs 269 crore recorded during the same period previous year (Q4FY23), this represented a 19.3% decline. For the fourth quarter of FY24, the firm recorded consolidated revenue from operations of Rs 3,927 crore, an increase of 8.5% over the same time the previous year at Rs 3,619 crore. For the quarter, Consolidated Earnings Before Interest, Taxes, Depreciation, and Amortisation (Ebitda) increased by 22% to Rs 631 crore. Ebitda increased by 24% to Rs 2,323 crore throughout the course of the year.
The company stated that its total expenses increased from Rs 3,217 crore to Rs 3,456 crore year over year (Y-o-Y), a 7.4% increase. Comparatively, the net profit decreased by 22% from the Rs 279 crore recorded in the third quarter. The revenue increased marginally from Rs 3,863 crore in the previous quarter to 1.65%. From Rs 3,350 crore, expenses increased 3.1% on a quarter-over-quarter (Q-o-Q) basis. The company declared a 4.4% decrease in net profit at the end of FY24, to Rs 1,150 crore, from Rs 1,203 crore at the end of FY23. The total revenue for FY24 increased by 10.3% to Rs 15,206 crore from the Rs 13,783 crore recorded at the end of the previous year.
According to the corporation, “By the end of FY24, total expenses had increased by 9% year over year to Rs 13,429 crore from Rs 12,318 crore. "Premium and sub-premium categories generated more than two thirds of India Tea's revenue in FY24, outperforming the company as a whole. Strong results were produced by the Gold, Premium, and Tetley Green franchisees, the business stated in an exchange filing. In India, the volume of flat tea consumed increased by 3% year over year, but the revenue from food increased by 20%. A 7% increase in international business was also reported, "with significantly improved profitability.".Tata Consumer Products had significant share gains in the UK throughout the quarter across all of our main retail partners, while in the US, Tata Raasa was listed in 100 Stop&Shop locations in Q4.
"Our premiumization agenda continues to progress well with the premium portfolio in both tea and salt showing good growth and contributing to an increasing share of the overall portfolio," stated Sunil D'Souza, Managing Director and Chief Executive Officer of Tata Consumer Products, in remarks about the results. With a 40% increase in revenue in FY24, our growth businesses - Tata Sampann, RTD, Tata Soulfull, and Tata SmartFoodz - kept up their impressive growth trajectory. Tata Starbucks, which has locations in 61 places, has steadily advanced its expansion goals.
"Capital Foods and Organic India, two of our most recent purchases, will significantly increase the company's worth and allow it to enter markets with strong growth and profit margins.Within 60 days of the transaction closing, Capital Foods' front end and back end integration was finished.We will concentrate on accelerating the business's integration to realize value after the deal for Organic India concluded on April 16," D'Souza continued.
Tata Consumer Products Ltd suggested paying Rs 7.75 in dividends per share. Prior to the release of the company's Q4 earnings on Tuesday, shares of Tata Consumer Products closed at Rs 1,173.25.
