Tata Consumers Products posts 11% operational revenue growth in Q2

Tata Consumer Products has posted an 11% operational revenue growth for the quarter ended 30th September 2023, compared to the corresponding quarter last year.

For six months, the company’s revenue stands at Rs 7,475 crore, up 12%.

For the quarter, the India Packaged Beverages business delivered 5% revenue
growth and 3% volume growth.

The India Foods business delivered 16% revenue growth and 6% volume growth. The value-added salt portfolio continued its strong momentum and recorded double-digit revenue growth during the quarter.

The International business revenue grew 13% (8% in constant currency).

Alternate channels continued to fuel the company’s growth agenda. In H1, the modern trade channel grew 13% and eCommerce grew 33%.

Tata Consumer Products forayed into the energy drinks category tapping into consumers’ need for functional beverages. Uniting the principal food and beverage interests of the Tata Group under one umbrella, it made an entry into the fast growing energy drink category with the launch of Say Never Energy Drink.

Vikram Grover, MD NourishCo Beverages Limited, Tata Consumer Products says that with this launch, the company aims to inspire and energise the doers, the dreamers, and the go-getters of the world. “The launch strengthens & complements the overall product portfolio for NourishCo,” Grover mentioned in a press statement.

NourishCo recorded strong revenue growth of 25% during the quarter despite unfavourable weather conditions, bringing YTD growth to 44%.

The company’s coffee and tea portfolios also saw innovations in the form of filter coffee decoction and black tea offerings. Coffee continued its strong performance for TCPL, with a revenue growth of 17% YoY.

Tata Starbucks recorded revenue growth of 14% for the quarter. This quarter focused on highways, for store expansion. Q2 saw the highest addition of highway stores in any quarter.

Sunil D’Souza, Managing Director & CEO of Tata Consumer Products said, “During the quarter, our India tea business continued to benefit from our earlier interventions, resulting in a third consecutive quarter of volume led growth. In our salt business, we have seen consistent revenue growth and premiumisation at play.

Our transformation journey to becoming a premier FMCG company is on track. Going forward, we will continue to focus on driving profitable growth along with building future-ready capabilities.”