Tata Consumer Products Limited (TCPL) reported its financial results for the second quarter ended September 30, 2024, showing steady performance in terms of revenue growth. The company’s revenue from operations grew to ₹4,214.45 crore, a 12.83% year-on-year (YoY) increase from ₹3,733.78 crore in the corresponding quarter of the previous year.
The group consolidated net profit (attributable to owners and non-controlling interest) came in at ₹367.21 crore, reflecting a modest 0.91% YoY rise from ₹363.92 crore in the same period last year.
Key Financial Highlights:
- Revenue from operations: ₹4,214.45 crore, up 12.83% YoY (from ₹3,733.78 crore in Q2 FY23).
- Group consolidated net profit: ₹367.21 crore, up 0.91% YoY (from ₹363.92 crore in Q2 FY23).
- Total income: ₹4,260.42 crore, up from ₹3,823.61 crore YoY.
- Total expenses: ₹3,836.18 crore, compared to ₹3,318.18 crore in Q2 FY23.
- Profit before tax (PBT): ₹397.07 crore, down from ₹490.88 crore YoY, impacted by exceptional items of ₹27.17 crore in the current quarter.
Operational Insights:
- TCPL’s total expenses grew to ₹3,836.18 crore from ₹3,318.18 crore YoY, driven by higher costs of materials and employee benefits.
- The cost of materials consumed increased to ₹1,641.37 crore, compared to ₹1,348.90 crore in the same period last year.
- Employee benefits expense rose to ₹363.54 crore, up from ₹304.15 crore YoY, reflecting an expanding workforce and increased operational scale.
Despite the rise in expenses, the company managed to post a marginal growth in net profit, supported by operational efficiency improvements. Finance costs increased to ₹98.69 crore during the quarter, and depreciation and amortisation expenses rose to ₹149.33 crore.
Comprehensive Income:
The total comprehensive income for the quarter stood at ₹614.79 crore, significantly higher than ₹324.74 crore in Q2 FY23. This improvement was driven by gains in the remeasurement of foreign exchange translations and other comprehensive income items.
Conclusion:
Tata Consumer Products continues to demonstrate consistent revenue growth, posting a 12.83% rise in revenue. While group consolidated net profit grew modestly by 0.91% YoY, the company remains focused on expanding its operations and optimizing costs to drive further profitability.
