Tata Consumer Products Ltd. shares traded 3% lower despite announcing its results for the quarter and year ended 31st March 2024, which showed decent growth in its business and financial performance.

As per the company’s regulatory filing on April 23, the Revenue from operations for the quarter was Rs 3927 Crores, up 9%, and for the year, it was Rs 15206 Crores, up 10%.

The consolidated EBITDA for the quarter was Rs 631 Crores, up 22%, and for the year, it was Rs 2323 Crores, up 24%. The Profit before exceptional items for the quarter was Rs 509 Crores, higher by 12%, and for the year, it was Rs 2023 Crores, higher by 24%.

The Group Net Profit before exceptional items at Rs 427 Crores was up by 46% driven by strong operating performance and one-time tax credits during the quarter.

The India Packaged Beverages business grew 2% in revenue for the quarter, retaining market leadership in tea in the E-commerce channel. Coffee also showed strong performance with a revenue growth of 45%. 

Premium and sub-premium segments outperformed the overall business and accounted for over two-thirds of India’s tea revenue. Tata Tea Gold and Tetley Green franchises delivered strong results. Additionally, Tata Tea Gold and Tetley launched campaigns centered around Women’s Day.

India Foods business grew 20% in the quarter. Value-added salt portfolio grew 34% in FY 24, accounting for 9% of overall salt business. Tata Salt launched a new campaign. Tata Sampann’s portfolio recorded a robust growth of 42% for the quarter. Tata Simply Better introduced three new products. 

Nourishco recorded revenue growth of 13% in the quarter, bringing FY24 growth to 33%. The Tata Gluco+ brand launched an impactful campaign in collaboration with the Argentina Football Association.

Tata launched Fruski Mast Mango in a signature cup ahead of summer, resulting in a 5%+ innovation-to-sales ratio. The sales & distribution infrastructure was expanded to reach 4 million outlets, with 1300+ new distributors added in FY24. E-commerce grew 35%, accounting for 11% of India’s business in FY24. 

A new Go-to-market platform and AI-enabled procurement platform were introduced as part of the digital transformation agenda.

Tata Consumer Products Ltd. integrated Capital Foods in just 60 days, leveraging Tata Consumer’s GTM for growth and cost synergies. The international business saw 7% revenue growth (+5% constant currency). Tata Starbucks added 29 new stores and entered 6 new cities, bringing the total to 421 stores in 61 cities.

The My Starbucks Rewards loyalty program grew 30% YoY. Starbucks and designer Manish Malhotra launched an exclusive line of lifestyle drinkware, and India’s first ‘Greener’ store opened in Punjab.

At 11:00 am, the shares of Tata Consumer Products were trading 5.09% lower at Rs 1,113.60 on NSE.