Tata Global Beverage's Q2 net profit up by 25 percent

Tata Global Beverages (TGBL) on Thursday posted an increase of 25 percent in its consolidated net profit at Rs.78 crore for the second quarter of the fiscal.

Its income from operations increased nominally by just one percent at Rs. 2,034 crores as compared to corresponding quarter of the previous year, but profit from operations, however, declined to Rs. 112 crores due to higher coffee commodity costs, lower non recurring income and higher spends on new initiatives.

"Consumer tastes in tea are evolving. We're leveraging this trend by adapting innovations to various market needs. We remain focused on growing our coffee and water businesses. The market environment globally remains challenging. We are meeting these challenges by investing behind our brands and improving operating efficiency," said managing director and CEO Ajoy Misra in a statement.

The company said the second quarter of 2015-16 saw continued focus on innovation and investment behind brands.

Tata Tea in India relaunched its flagship brand 'Tata Tea Premium' across all major cities focused on building awareness of the large and small leaf blend.

It also launched Tata Tea Gold mixture, a tea blend crafted specifically for Maharashtra - one of the largest tea markets in India.