Britannia Industries' net profit rises 28% to Rs 490 crore in Q2

FMCG major Britannia’s net profit rose 28.38 per cent to Rs 490.58 crore in the Q2 of 2022-23 as compared to Rs 384.22 crore during the previous quarter ended September 2021.

The company has recorded its "highest quarterly revenue", Britannia Industries said in its filing at BSE on Friday. The company said its consolidated revenue from operations went up by 21.4 per cent to Rs 4,379.61 crore from Rs 3,607.37 crore same quarter last fiscal.

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“We have witnessed positive growth momentum over the last few months. Our Go-to-market strategy & increase in distribution reach have converged to deliver a robust topline growth of 22 per cent Y-o-Y & 19 per cent Q-o-Q, aided by a mid-single digit volume growth, as we record our highest quarterly revenue. We continue to have aggressive market share gains, consistently over the past 38 quarters & registers a 15-year high, which is a testimony of our Brand strength & team’s execution capability,” said Varun Berry, Managing Director, Britannia.

The sales figures rose 22.06 per cent to Rs 4,337.59 crore in the quarter ended September 2022 as against Rs 3,553.68 crore during the previous quarter ended September 2021.

Earnings before interest, taxes, depreciation, and amortization or EBITDA for the quarter came in at Rs 711.7 crore, higher by 27.5 per cent from Rs 558.3 crore YoY.

"Our direct distribution jumped to 26 lakhs outlets, with an addition of 4 lakhs outlets in the last 6 months. We continue to make strides in our Rural journey and we now have appointed 28,000 Rural Preferred Dealers, which has led to consistent market share gains," he added.

"On cost and profitability front, commodity inflation remained on the boil on the back of rising inflation in flour and milk products. In this dynamic environment, as a result of our pricing actions and intensified cost efficiency program, we have been able to improve our operating margins beyond pre-Covid levels," Berry added.

Shares of Britannia Industries Ltd settled at BSE for at Rs 3,801.30 on Friday, 1.46 per cent higher than its previous close.