Britannia Industries Q1 FY25 results: Net profit rises 10.5% to Rs 506 cr

Revenue rises due to better operating margins

Bengaluru-based Britannia Industries reported a consolidated net profit of Rs 506 crore in the first quarter of the financial year 2025 ended June 30, up 10.5 per cent from the same period the previous year due to better operating margins in the quarter.

Britannia’s total revenue grew to Rs 4,130 crore in Q1 FY25, up 4 per cent compared to the same period last year. This was driven by high single-digit volume growth and improved operating margins over last year.

The biscuit major’s profit before interest, tax, and depreciation was up 5.7 per cent at Rs 789 crore.

“We come out of a challenging financial year that witnessed a consumption slowdown, particularly in rural India. Our performance this quarter reflects the agile approach to a dynamic market environment and diligent market practices. Our market share progressed well as an outcome of sustained investments in brands, product excellence, and innovation,” said Varun Berry, vice chairman and managing director, Britannia Industries.

Berry highlighted that Britannia would continue to make positive strides in rural areas as it expands its distribution footprint and enhances product offerings to align with regional preferences and is well positioned to benefit from the consumption growth in rural areas.

Furthermore, as a result, the FMCG firm’s rural market share grew at a faster clip than urban. "We are actively leveraging the rapidly growing modern trade and e-commerce channels, both growing exponentially compared to the previous year.”

During the quarter, Britannia introduced the Pure Magic Stars and Golmaal variants, which have contributed to heightening the brand franchise, as per the company statement.

Focusing on cost and profitability, Britannia remains vigilant about commodity price fluctuations and the evolving geopolitical landscape. The firm stated that its cost efficiency programme continues to yield operational savings, ensuring robust operating margins.

“We are committed to investing in capability enhancement and brand development while maintaining price competitiveness with the clear objective of driving market share and sustaining profits. We reaffirm our commitment to our ESG framework of people, growth, governance, and resources and shall continue to focus on our initiatives to build a sustainable and profitable business,” added Berry.

Britannia declared its results on Friday after market hours. Ahead of the results, its shares closed up 0.02 per cent at Rs 5,728.65 apiece on the BSE.