Shares of Britannia Industries hit an all-time high of Rs 4,181.40 in intraday trade on Monday after the company reported strong revenue growth and its market share hit a 15-year high in the September quarter (Q2FY23).

Shares of the leading food company surpassed the previous high of Rs 4,152.05 set on September 14, 2021. A surge in share prices helped Britannia enter a coalition of the Rs 1 trillion market capitalisation club. The company’s m-cap hit Rs 1.01 trillion in intraday trade today.

In Q2FY23, Britannia’s consolidated sales rose 22% YoY and 19% QoQ to Rs 4,338 crore, supported by mid-single-digit volume growth. Operating profit rose 30% year-on-year to Rs 660 crore.

Consolidated gross margin increased by 140 basis points year-over-year and 200 basis points sequentially to 38.9%. However, lower staff costs (down 50 basis points year over year) and higher other expenses (up 120 basis points) limited EBITDA margin growth of 80 basis points to 16.3%.

Britannia said commodity inflation is still boiling due to rising inflation in flour and dairy products regarding cost and profitability. “In this dynamic environment, as a result of our pricing actions and enhanced cost-efficiency initiatives, we have been able to improve our operating margins beyond pre-pandemic levels,” the company said. The past few months have witnessed positive growth momentum.

Analysts at Centrum Broking believe that Britannia’s long-term business fundamentals are intact. Its growth strategy is driven by an expanding footprint and innovation pipeline in central India and strong execution capabilities, aiming for profitable growth.