Britannia’s PBT jumps 88%, revenue up 26%

Britannia Industries reported stellar quarterly growth on Friday posting a profit before tax (PBT) of ~737 crore for Q1, a rise of 88 per cent compared to the corresponding period of the previous financial year. Its net profit grew 117 per cent to ~546 crore on YOY basis. The consolidated revenue of the firm witnessed strong growth of 26 per cent on year-on-year (YOY) basis at ~3,384 crore, ahead of expectations.

Britannia Industries reported a stellar growth on Friday posting a profit before tax (PBT) of ~737 crore for Q1, a rise of 88 per cent when compared with the corresponding period of the previous financial year.

Net profit for the biscuit maker grew 117 per cent to ~546 crore on YOY basis.

Consolidated revenue for the Bengaluru-headquartered firm witnessed a strong growth of 26 per cent YOY basis at ~3,384 crore, ahead of expectations. The company’s volume growth for the period stood at 22 per cent, higher than analysts expectations of 17-20 per cent.

Such a strong performance presents a very high base for the company. “What we have seen in the past is once you build a base, you find ways of growing beyond that. As we go forward, we would stride to grow over that base as we go forward,” said Varun Berry, managing director of Britannia Industries during an investor call on Friday.

The company, which is currently running with a stock of 2-3 days, said its nimble culture helped it quickly adapt to the Covid-19 situation and meet the market demand.

“As soon as the lockdown was eased, we focussed on getting our distribution back to the pre- Covid levels and increasing our rural and hinterland reach. During this period, we also launched Winkin Cow Lassi and a ~5 Layer Cake pack to expand our reach,” he said.

On the cost front, the company witnessed moderate inflation in the prices of key raw materials and expects the rates to be stable going forward given the positive outlook on monsoon and harvest.