Tata Consumer Products Q4: Cons. net profit declines 27% YoY; co. declares Rs 7.75/ share dividend

Tata Group's FMCG company-Tata Consumer Products LImited (TCPL) after market hours today reported revenue from operations on a consolidated basis for the March quarter at Rs 3927 crore, up 9 per cent. This was a tad lower than Zee Business Research desk's estimate of 10 per cent growth in revenue on year to Rs 3965 crore in the review period. In Q4FY23, the Tata Group's consumer products company posted a revenue of Rs 3619 crore.

The revenue growth is primarily attributed to the company's good business in the domestic markets, which logged 10 per cent growth.

For the year, the revenue came in at Rs 15,206 crore, up 10 per cent, said the company's press release.

EBITDA or operating profit at the company on a consolidated level was reported at Rs 631 crore, up 22 per cent, and for the year at Rs 2323 Crores, up 24%, it added. This is higher than desk estimates of EBITDA at Rs 603 crore. The company in the corresponding period of the previous year posted EBITDA of Rs 512 crore. The Group's consolidated net profit came in at Rs 212.26 crore during the quarter as against Rs 289.56 crore in the corresponding period of the previous year.

Profit before exceptional items and tax at Rs 509 crores is higher by 12 per cent, while the Group's Net Profit before exceptional items at Rs 427 Crores is up 46% driven by strong operating performance and one-time tax credits during the quarter, noted the release. The desk expected the company to post a 31 per cent on year increase in profit after tax to Rs 380 crore as against Rs 290 crore in the same period last year.

Sunil D’Souza, Managing Director & CEO of Tata Consumer Products said “We delivered good topline growth of 10% in FY24, but importantly an EBITDA growth of 24% and significant expansion in EBITDA margin."  We also delivered strong performance in our International markets, along with significant margin improvement. The UK business saw its EBITDA margin touch historic highs led by restructuring initiatives taken during the year, he added.

On the sidelines, the company also considered and recommended Final Dividend of Rs.7.75 per equity share of Rs. 1 /-each fully paid up for the financial year ended March 31, 2024

Ahead of its results later today, shares of Tata Consumer Products ended at Rs 1173.25, up 0.07 per cent.