Britannia Inds Q2 PAT rises 23% to Rs 498 cr

The FMCG company posted a 23% rise in consolidated net profit to Rs 498.13 crore in Q2 September 2020 from Rs 404.22 crore reported in Q2 September 2019.

Consolidated revenue from operations stood at Rs 3,419.11 crore in Q2 September 2020, rising 12% from Rs 3,048.84 recorded in Q2 September 2019. The result was announced after market hours today, 19 October 2020.

Consolidated profit before tax came increased 34.5% to Rs 670.18 crore in Q2 September 2020 as compared to Rs 498 crore in Q2 September 2019. Total tax expenses jumped by 83% to Rs 174.98 crore in Q2 September 2020 over Q2 September 2019.

Commenting on the performance, Varun Berry, MD said, "Covid-19 has brought about a situation whereby we are witnessing tectonic shifts in economic growths & consumer behaviour across the world. In this quarter, we got our full range of products to the market, focussed on efficiency in distribution, followed continuous replenishment system of distribution, improved the health of our distributors and inched closer to normalcy in advertisement & promotions. The nimble culture & the hard work put in by the team helped deliver a resilient performance in these challenging times. All the adjacent businesses too delivered a healthy profitable growth. On the cost front, we witnessed moderate inflation in the prices of key raw materials and expect the prices to be stable going forward given the positive outlook on monsoon & harvest. We sustained a large part of the efficiency gains that we witnessed in the previous quarter viz., supply chain efficiencies, reduction in wastages and fixed costs leverage. These measures helped us sequentially sustain the shape of our business and record a massive 390 bps increase in operating profit during the quarter vs. last year. We are keeping a close watch on macro-economic factors, changes in laws, evolving consumer behaviour and are framing our medium-term strategy laying out scenarios to deal with this dynamic environment. We are confident of performing well in these tough times with the agility in our action and passion of the team."

Shares of Britannia Industries closed 0.7% higher at Rs 3773.8 on BSE.

Britannia Industries is one of India's leading food companies. The company's product portfolio includes biscuits, bread, cakes, rusk, and dairy products including cheese, beverages, milk and yoghurt.

Powered by Capital Market - Live News