Tata Consumer Products has reported its financial results for the quarter ending March 2025, showing a 17.35% increase in net sales, reaching Rs 4608.22 crore compared to the same quarter in the previous year. The Branded Business segment contributed most of this growth, with a 16.94% increase in sales to Rs 4130.40 crore, accounting for 89.19% of total sales. The Non-Branded Business segment also saw a 24.67% increase in sales to Rs 500.55 crore. Despite the growth in sales, the company experienced an 11.37% drop in profit before interest, tax, and other unallocable items (PBIT), falling to Rs 510.88 crore. The Branded Business segment saw a significant 17.66% decline in PBIT, while the Non-Branded Business segment saw a 21.78% rise. The overall PBIT margin dropped from 14.65% to 11.03%, and the operating profit margin declined from 16.03% to 13.47%, leading to a 1.37% fall in operating profit to Rs 620.95 crore. Raw material costs rose from 37.88% to 39.80%, and other costs, such as the purchase of finished goods and other expenses, also increased. On a positive note, the company saw a 46.97% rise in other income and a decrease in loan funds from Rs 3,477.22 crore to Rs 2,392.68 crore. The net profit attributable to the owners of the company increased by 59.19% to Rs 344.85 crore.
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For the full year, Tata Consumer Products reported a 15.87% increase in net sales, totaling Rs 17,618.3 crore. The Branded Business segment accounted for 89.21% of the total sales, while the Non-Branded Business segment contributed 10.79%. The company’s profit before interest, tax, and other unallocable items (PBIT) rose by 0.68% to Rs 2,094.70 crore. Despite a decrease in PBIT for the Branded Business segment, the Non-Branded Business segment saw a significant rise of 64.01%. The overall PBIT margin dropped from 13.65% to 11.84%, but the operating profit margin increased slightly by 8.55%. The company also saw a decline in its provision for interest and an increase in the provision for depreciation. Tata Consumer Products maintained strong growth in its International Business and saw growth in both India Beverages and India Foods businesses. Key growth areas included the company’s salt revenue, which grew 13% year-on-year, and the growth businesses such as Tata Sampann, RTD, and Tata Soulfull, which grew 66% in Q4 FY25. E-commerce and Modern Trade also saw strong growth, with a 66% and 26% increase in revenue, respectively. Tata Consumer Products continued to expand its business by adding new Tata Starbucks stores and entering new cities. The company also focused on innovation, launching 41 new products during the year. Despite challenges, Tata Consumer Products is confident about its growth prospects moving forward.
