Tata Global Beverages Q4 profit up 40% at Rs71.56 crore
Total income of Tata Global Beverages stood at Rs1,714.12 crore for the fourth quarter, against Rs1,692.24 crore in the same period last year
Kolkata: Tata Global Beverages Ltd (TGBL) on Friday recorded a 35.96% increase in its consolidated net profit to Rs114.70 crore for the quarter ended March 2018, because of lower level of exceptional expense, increase in other income, lower finance costs along with advertisement and sales charges.
It reported a net profit of Rs84.36 crore in the corresponding period previous fiscal.
While revenue from operations during the quarter under review increased marginally to Rs1,688.40 crore from Rs1,681.97 crore in Q4FY2017, other income, on the other hand, increased to Rs25.72 crore from Rs10.27 crore in the year-ago period.
Total income increased to Rs1,714.12 crore in January-March quarter as against Rs1,692.24 crore in the year-ago period.
Total expense increased to Rs1,584.75 crore during Q4FY2018 compared to Rs1,552.48 crore in the same period of the previous year. However, employee benefits expense, finance costs, depreciation and amortisation expenses, advertisement and sales charges and other expenses had reduced during the January-March quarter of 2017-18.
Finance cost has declined 45.17% to Rs13.58 crore as against Rs24.77 crore in the year-ago period, while advertising and sales charges decreased 18.43% to Rs135.28 crore. Other expenses also reduced to Rs256.94 crore, a decline of 10.22%.
In a stock exchange disclosure, TGBL said that after excluding the impact of sale and restructuring of the group’s businesses, revenue from operations for the quarter increased by 4% in constant currency on a comparable basis. Net profit for the quarter grew by 40% as compared to the corresponding quarter of the previous year because of lower level of exceptional expenditure.
The year saw strong focus on strengthening our core brands, streamlining the business and category expansion, it added.
The focus over the last year was on streamlining the organisation for better agility and business performance, Ajoy Misra, managing director and CEO, said in a statement. It focused on base business rejuvenation through brand building, category expansion and enhancing distribution reach.
“Our joint ventures have clocked good growth and have performed well during the year,” Misra said in the statement.
For the year, revenue from operations increased by 2% in constant currency on a comparable basis. Profit before exceptional items at Rs774 crore is higher by 18% as compared to previous year due to improved operating performance, restructuring, good cost management and lower finance costs. The group’s consolidated net profit for the year at Rs557 crore is higher by 22% as compared to the previous year, the company said in its disclosure.