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Informist, Friday, Jul. 24, 2026

 

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--Tata Consumer Products Q1 consol PAT INR 4.27 bln
--Analysts saw Tata Consumer Apr-Jun consol net profit at INR 4.10 bln 
--Tata Consumer Products Apr-Jun consol revenue INR 53.49 bln 
--Analysts saw Tata Consumer Apr-Jun consol revenue INR 53.88 bln 
--Tata Consumer Products Q1 consol PAT INR 4.27 bln vs INR 3.34 bln year ago
--Tata Consumer Apr-Jun consol revenue INR 53.49 bln vs INR 47.79 bln yr ago 
--Tata Consumer Q1 consol raw materials cost INR 20.85 bln vs INR 20.37 bln 
--Tata Consumer Q1 international branded sales INR 13.43 bln vs INR 11.45 bln 
--Tata Consumer Q1 non-branded sales INR 4.98 bln vs INR 5.36 bln year ago 
--Tata Consumer Apr-Jun consol EBITDA INR 7.30 bln, up 19% on yr 
--Tata Consumer Apr-Jun international sales up 3% YoY in constant currency 
--Tata Consumer Apr-Jun India business underlying volume growth 13% YoY 
--Tata Consumer Apr-Jun consol EBITDA margin 13.6% vs 12.9% year ago

--Tata Consumer Apr-Jun consol sales up 9% on year in constant currency 

--Tata Consumer tea, coffee volumes in India grew 2% on year in Apr-Jun 

--Tata Consumer tea, coffee revenue in India fell 4% on year in Apr-Jun 

--Tata Consumer: Tea, coffee volume growth hit Q1 due to strong summer 

--Tata Consumer:Tea, coffee sales fall Q1 due to pass-through of low tea cost 

--Tata Consumer: Salt revenue, volume grew 7% on year each in Apr-Jun 

--Tata Consumer: Hiked prices of salt pdts Q1 to offset input cost inflation 

--Tata Consumer Q1 ready-to-drink ops revenue up 41% YoY, volume up 35% 

--Tata Consumer: Tata Sampann revenue up 58% on year in Apr-Jun 

--Tata Consumer: Tata Starbucks revenue up 11% on year in Apr-Jun 

--Tata Consumer: Tata Starbucks JV opened 4 stores in Q1, total stores 498 

--Tata Consumer: Tata Starbucks JV total stores 498 on Jun 30 vs 502 Mar 31

 

By Avishek Rakshit

 

KOLKATA – Improving domestic sales both in volume and value, and an uptick in international sales, coupled with recent price increases led Tata Consumer Products Ltd. report a sharp surge in its consolidated net profit for the June quarter along with a rise in revenue. 

 

The country's second-largest tea retailer reported nearly 28% on-year increase in its net profit for the June quarter at INR 4.27 billion while revenue from operations increased nearly 12% to around INR 54 billion in the aforesaid quarter. 

 

The revenue growth was driven by a 13% growth in its India business at nearly INR 35.40 billion arising from increased sales and price hikes, coupled with 5% revenue growth in its international business at over INR 13 billion in the June quarter. However, the continuing stress on the Indian tea plantations sector led its non-branded business in the country to register a 7% on-year decline in revenue at around INR 5 billion. Although Tata Consumer is directly not involved in tea plantations business, its associate company, Amalgmaated Plantations Pvt. Ltd. is a major tea plantations company in India and its revenue and profits form part of Tata Consumer's financial performance.

 

In constant currency terms, consolidated sales were up 9% on year and revenue from global operations were up 3%, in the June quarter.  

 

In India, the company's total sales volume grew 13% on year. While in the salts business, where the company is the market leader, both revenue and volume grew 7% on year, its revenue from tea business declined 4% on year as the low input cost benefits were passed on to consumers through price decreases. However, tea sales volumes grew 2% on year in the country. 

 

"The India branded business delivered robust underlying volume growth reflecting continued focus on execution, category expansion and innovation. Our 'Growth' businesses performed very well and have scaled their overall contribution to the India business," Sunil D'Souza, managing director and chief executive officer at Tata Consumer, said in a statement.

 

Even as coffee sales registered a 24% revenue growth during the June quarter, an unusually strong summer impacted growth in the tea and coffee segment. At the same time, calibrated price hikes in salts led the revenue from this segment grow in tandem with volume growth; but the company's sales volume from value added salts, which are priced higher and are margin accretive, grew 13% on year. 

 

The company's revenue from the Tata Sampann brand increased 58% on year in the June quarter with all categories under the brand such as pulses, seeds, spices, foods, and others registering growth. The brand strengthened its presence in the spices category by building a comprehensive whole spices portfolio covering major consumer need spaces.

 

The ready-to-drink business of the company clocked 41% revenue growth in the June quarter with broad-based growth across the portfolio resulting from the company's continued focus on premiumisation and innovation. New flavour variants were introduced in Tetley Kombucha Zero– Cranberry and Pineapple to strengthen the zero-sugar beverages portfolio.

 

"Tata Sampann continued to record exceptional growth driven by performance across multiple categories- dry fruits, cold-pressed oils as well as core pulses and spices," D'Souza said. "The Ready-To-Drink business delivered a strong quarter with strong performance across core brands as well as new launches."

 

Capital Foods and Organic India brands – which were acquired by Tata Consumer in 2024 and are key export items for the company apart from strong domestic presence, delivered revenue growth of 40% and 27%, respectively for the quarter. Health and wellness and convenience focused launches continue to expand the addressable market and drive category growth.

 

 

The company's international business in the June quarter grew 16% on year owing to strong performance in the US. In the UK, Teapigs and Good Earth brands continued to gain share in the Specialty and fruit and herbal segments. While the business in the US grew 7% in constant currency terms, the company's revenue from UK declined 2% in constant currency terms, impacted by an intense summer which drove a slowdown in the everyday black tea category. In Canada, revenue for the June quarter was flat, however, value share improved across regular and specialty products driven by strong sales execution.

 

For its non-branded business, revenues declined in the June quarter primarily due to a sharp 26?ll in robusta coffee prices which affected realisations from sales and lower tea prices in the auctions pulled down revenues from its tea plantations business by 8% in the June quarter. Losses from its associate companies and joint ventures widened to INR 177 million in the June quarter as against INR 147 loss in the corresponding quarter of the last financial year. 

 

For its Tata Starbucks joint venture, where the company owns a 50% stake, revenue grew 11% on year in the June quarter backed by strong same-store-sales growth and strong operating leverage drove margin expansion. It opened four new cafes in the June quarter, including two reserve stores in Kolkata and New Delhi, taking the total cafe count to 498 as on Jun. 30. However, total cafe count as on June-end fell than what it was before as on Mar. 31 at 502 cafes. 

 

While lower tea prices in the auctions bled its plantations business, it was a boon for the company at the same time as raw material prices could be kept under check. Despite the ongoing global commodity inflation, which got exacerbated due to the West Asia war, Tata Consumer's raw material costs increased by 2.35% only at around INR 21 billion in the June quarter – one of the lowest in the consumer goods industry. 

 

However, employee costs, stock-in-trade purchases, finance costs rose pulling up the total expenses by around 11% on year at over INR 48 billion in the June quarter. Effectively, the company's consolidated earnings before interest, tax, depreciation, and amortisation increased 19% on year to INR 7.30 billion and EBITDA margins improved to 13.6% in the June quarter compared with 12.9% in the year-ago quarter. 

 

"Our innovation momentum continues with 14 new launches in Q1 and a roadmap in place to fuel our growth agenda this year. We remain focused on delivering sustainable profitable growth by strengthening and scaling our core and growth businesses and building a future ready portfolio," D'Souza said. 

 

As a strategy, Tata Consumer is focusing on strengthening its core portfolio in tea and salts while accelerating its growth businesses and also keeping an eye on new opportunities as they emerge. 

 

Friday, shares of Tata Consumer closed 1.8% down at INR 1,088.00 on the National Stock Exchange. The company declared its June quarter results after trading hours. End

 

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

 

Edited by Akul Nishant Akhoury

 

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