Britannia Industries Reports 117% Jump In Consolidated Profit YoY

Britannia Industries on Friday posted its Q1FY21 results with net profit coming in higher by 117% year on year owing to strong revenue and operational growth.
Profit at the company came in at Rs. 545.7 crore in June 2020 compared to Rs. 251.03 crore in June 2019.

Britannia Industries Reports 117% Jump In Consolidated Profit YoY

Revenue from operations jumped 26.7 percent year-on-year to Rs 3,420.67 crore in June quarter 2020.

"Given the dynamic nature of the pandemic & associated uncertainty, we were quick to resort to cost efficiencies through extraction of supply chain efficiencies, reduction in wastages and fixed costs leverage. We also rationalized media spends considering the constraints of inventories due to higher market demand. These measures helped us improve the shape of our business and record a massive increase in operating profit during the quarter," Varun Berry, Managing Director said.

Volume growth at the company was also higher than poll expectations at 22%.In June quarter last year, domestic volume growth was at 3 percent.

Consolidated earnings before interest, tax, depreciation and amortisation (EBITDA) grew sharply by 82 percent year-on-year to Rs 717 crore and margin expanded 640bps YoY to 21 percent in quarter ended June 2020.

After the easing of lockdown restrictions, Britannia said it introduced 'Winkin Cow Lassi' and a Rs 5 Layer cake pack to expand its reach. "All the adjacent businesses too delivered a healthy profitable growth."

After the results, the stock came off from day's high and at 1:38 pm was trading at Rs. 3836.5, down 0.45%.

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