TATA Consumer Products Q4 FY2024: Revenue up by 7.93% on a YOY basis

Key Highlights

• Tata Consumer Products reported a 9% increase in its operating revenue on a quarterly basis reaching Rs 9326.94 cr in Q4FY2024 from Rs.3618.73 cr for the quarter ending March 2023.
• PAT marked at Rs. 267.71 cr for Q4 FY 2024, down by 22.53% on a YOY basis.
• EBITDA stood at Rs 631 Crores for the quarter ending March 2024 up by 22%

Business Highlights

• TATA Consumer Products revenue from operations for FY 2024 was Rs. 15205.85 cr, up by 10.32% on a YOY basis from Rs. 13783.16 in FY 2023.
• Net profit for FY 2024 was Rs. 1300.99 cr against Rs. 1346.52 cr in FY 2023.
• The packaged Beverages business of Tata Consumers reported a 2% revenue growth.
• The company’s international business reported a revenue growth of 7% (+5% constant currency) on a quarterly basis.
• Starbucks opened the highest number of 95 stores this year, with the total number reaching 421 in 61 Indian cities.
• My Starbucks Rewards loyalty program witnesses 30% YOY growth with 3 million patrons.
• The company added 4 million outlets and 1300+ distributors primarily in Rurban markets in FY2024.
• Tata Consumers’ e-commerce channel grew by 35%, while Modern Trade reported a growth of 9% in FY24. The company’s e-commerce contributed to 11% of the total India business for FY2024, which is a 9% growth compared to FY2023.

Commenting on the results, 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.” He also added, “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. In India, we solidified our Sales & Distribution infrastructure; our total reach has expanded to 4 million outlets as of March ’24. We implemented split routes in all 1 million + population towns and have seen significant improvement in assortment and growth. We are strengthening our Rurban focus and are deepening reach into rural areas. Alternate channels (modern trade and e-commerce) recorded significant momentum and continue to be strong growth drivers.”