Tata Global Beverages lost 4.77% to Rs 148.80 at 10:45 IST on BSE after consolidated net profit fell 27.63% to Rs 69.30 crore on 3.25% increase in total income to Rs 1926.15 crore in Q4 March 2014 over Q4 March 2013.
The result was announced after market hours on Wednesday, 28 May 2014.
Meanwhile, the BSE Sensex was down 139.71 points, or 0.57%, to 24,416.38
On BSE, so far 3.29 lakh shares were traded in the counter, compared with an average volume of 3.54 lakh shares in the past one quarter.
The stock hit a high of Rs 154 and a low of Rs 148.40 so far during the day. The stock hit a 52-week high of Rs 170.20 on 3 November 2013. The stock hit a 52-week low of Rs 128.05 on 27 June 2013.
The stock had underperformed the market over the past one month till 28 May 2014, rising 2.26% compared with 8.50% rise in the Sensex. The scrip had also underperformed the market in past one quarter, rising 11.81% as against Sensex's 16.27% rise.
The mid-cap company has an equity capital of Rs 61.84 crore. Face value per share is Re 1.
Tata Global Beverages said that consolidated net profit declined in Q4 March 2014 over Q4 March 2013 due to higher expenditure on brands, new initiatives and exceptional items. During Q4 March 2014, Tata Global Beverages continued to create magical beverage moments for consumers, across tea, coffee and water.
On a consolidated basis, Tata Global Beverages' net profit rose 28.9% to Rs 480.51 crore on 5.14% increase in total income to Rs 7819.41 crore in the year ended 31 March 2014 (FY 2014) over the year ended March 2013 (FY 2013).
Income from operations rose 5% to Rs 7738 crore in FY 2014 over FY 2013. The operating results reflect strong performance in some countries and a challenging market environment in a few geographies, Tata Global Beverages said.
During the year, Tata Global Beverages continued to make good progress in innovation, strengthening its brands, category expansion and growth through strategic alliances. The year saw the launch of strong marketing campaigns, innovative new products and steady progress in our strategic alliances, the company said.
Tata Starbucks - a joint venture between Tata Global Beverages and Starbucks- now has 46 Starbucks stores across the cities of Mumbai, Delhi, Bangalore and Pune. The stores continue to see excellent consumer response, the company said.
Mr. Ajoy Misra, Managing Director and CEO of Tata Global Beverages, said - "In a challenging market environment, we continue to invest strongly behind our brands. We have made good progress on category expansion into coffee and the single serve business in Australia with the acquisition of the MAP brand. By leveraging key consumer trends like wellness, convenience and indulgence, Tata Global Beverages continues to create many magical beverage moments for consumers across the globe. Our strategic alliances with PepsiCo and Starbucks are making good progress and seeing steady growth."
Tata Global Beverages' board of directors at its meeting held on Wednesday, 28 May 2014, recommended a dividend of Rs 2.25 per share for the financial year ended 31 March 2014.
Tata Global Beverages is a global beverage business. The company has significant interests in tea, coffee and water and is the world's second largest tea company.
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