Tata Global Beverages announced its results for the quarter ended June 30, 2012 this evening. It reported significant increase both in turnover and operating profits.
The company’s consolidated total operating income for the quarter at Rs1725 crore was 18 percent higher than the corresponding quarter of the previous year reflecting improved performance in most major markets coupled with favourable foreign exchange translation impact. Profit from ordinary activities after finance cost but before exceptional items at Rs153 crore is 55 percent higher than the corresponding quarter of the previous year reflecting the improved operating performance. Profit from ordinary activities before tax at Rs148 crore and profit after tax at Rs99 crore are lower than the corresponding period of the previous year, primarily due to the impact of exceptional income. Exceptional income in the corresponding quarter of the previous year represents profit arising on sale of non core investments partially offset by exceptional expenditure.
Tata Global Beverages continues to make steady progress in category expansion
and innovation. Tata Water Plus - India’s first nutrient water - now has
a presence in Tamil Nadu and Andhra Pradesh. Supported by a 360 degree marketing
campaign, the brand is fulfilling its promise of going beyond quenching thirst
to promoting everyday good health.
In the stand alone Tata Global Beverages' results, the total operating income for the quarter at Rs570 crore increased by 10 percent over the corresponding quarter of the previous year driven by higher volumes and better price realisations. Profit from operations at Rs76 crore is higher by 31 percent than the corresponding quarter of the previous year driven by improved performance in the branded tea operations. The profit before tax at Rs80 crore and the profit after tax at Rs56 crore are lower than the corresponding quarter of the previous year primarily due to the impact of exceptional income. Exceptional income in the corresponding quarter of the previous year represents profit arising on sale of non-core investments partially offset by exceptional expenditure.
Harish Bhat, managing director and CEO of Tata Global Beverages, said, “Our operating results for the first quarter of this financial year represent significant progress over the same quarter of the previous year. We have seen good volume growth and performance in key global markets including the United Kingdom and India, notwithstanding selective price increases which were implemented in response to higher commodity costs. In addition, we continue to drive a range of operating efficiencies, which is yielding good results."
"Our focus on category expansion and innovative new beverage products, such as
Tata Water Plus and Tetley Chai Latte, will continue to drive our company’s
growth. These beverages are designed to delight our consumers, and add significant
value to their lives. Alongside these products, our key strategic alliances
will also create big new opportunities for the future,” he added.