Britannia Industries dips 5% on margin disappointment in Q2

The company said its operating margin contracted by 425 basis points (bps) to 14.09 per cent in Q2FY22 from 18.34 per cent in Q2FY21

Shares of Britannia Industries dipped 5 per cent to Rs 3,536.60 on the BSE in Tuesday’s intra-day trade after the company reported 23 per cent year-on-year (YoY) decline in its consolidated net profit at Rs 381.84 crore, due to higher raw material cost. The packaged foods company had reported a profit of Rs 495.20 crore in a year ago quarter (Q2FY21). On quarter-on-quarter (QoQ) basis, net profit down 1.4 per cent from Rs 387.10 crore in Q1FY22.

The company said its operating margin contracted by 425 basis points (bp) to 14.09 per cent in Q2FY22 from 18.34 per cent