Tata Consumer Products Q2 Profit Jumps 36% To Rs 389 Crore, Shares Soar

Tata Consumer Products Ltd (TCPL) on Thursday declared a jump of 36.25% in its consolidated net profit at Rs 389.43 crore for the second quarter ended September 30, 2022.

Earlier, the Tata group company declared a net profit of Rs 285.80 crore for the July-September quarter a year ago, according to the BSE filing.

Revenue from operations surged 10.87% to Rs 3,363.05 crore during the quarter under review as against Rs 3,033.12 crore in the corresponding period last year, according to PTI report.

TCPL Managing Director and CEO Sunil D'Souza said in the regulatory filing, "We delivered another quarter of double-digit revenue growth while balancing margins despite inflationary pressures, weakness of currency and some lag in pricing in International Markets."

TCPL's revenue from the Indian market in July-September rose 9.19 per cent to Rs 2,159.95 crore, as against Rs 1,978.08 crore in the year-ago period, as per the PTI report.

While the branded tea category in India was lukewarm, TCPL continued to gain volume market share, he said.

The last trading price of TCPL is Rs 770 apiece on BSE with 52-week high at Rs 861 apiece and 52-week low at Rs 650 apiece, respectively. The stock has given a 5-years return of 276% and 3-years return of 173%. The shares gained 0.77% amid healthy Q2 results.

The company has a market capitalisation of Rs 70,982.52 crore.

"In our other core business of salt, despite significant inflation-led pricing, we have continued to gain market share and strengthen our leadership position," said D'Souza.

Its international business contributed revenue of Rs 838.87 crore, up 7.37% compared to Rs 781.27 crore earlier, stated the PTI report.

"While unprecedented inflation and adverse currency movements in our International business have weighed on our margin this quarter, we will be driving structural cost saving initiatives to improve the trajectory going forward. Our transformation agenda to become a leading FMCG company continues to be on track," added D'Souza.