- Britannia Industries posted a 118.25 percent year-on-year (YoY) increase in net profit for the quarter ended June 30 on Friday at Rs 542.68 crore
- The company’s consolidated revenue increased 26.67 percent in Q1FY21 to Rs 3,420.67 crore. The amount excludes Rs 93.68 crore from other revenues.
Britannia Industries posted a 118.25 percent year-on-year (YoY) increase in net profit for the quarter ended June 30 on Friday at Rs 542.68 crore. In the corresponding quarter of last year, it had reported a net profit of Rs 248.64 crore.
The company’s consolidated revenue increased 26.67 percent in Q1FY21 to Rs 3,420.67 crore. The amount excludes Rs 93.68 crore from other revenues.
ET Now in the poll of their analysts a profit of Rs 413 crore had been expected.
The biscuit maker’s consolidated EBITDA rose in the April-June period to Rs 717.4 crore from Rs 395 crore in the year-ago period. The business posted a 20.98 percent margin.
“The quarter, in the wake of Covid-19, posed an uphill task for the economy and caused significant disruptions due to lockdowns imposed to curtail its spread. Factories, depots, transportation & vendors were impacted across the supply chain. Our nimble culture helped us adapt quickly to the situation and meet market demand, “said Britannia Industries managing director Varun Berry.
The management attributed cost savings and decreased advertisement as factors behind the quarter’s doubling of the bottom line.
“We were able to turn to cost-efficiencies by extracting efficiencies from the supply chain, reducing waste, and optimizing fixed costs. We also rationalized spending on the media. These steps helped us strengthen our business process and report a huge 670 bps rise in operating income over the quarter, “Berry said.
Given the positive outlook on monsoon and harvest, the Wadia Group firm, which saw moderate inflation in the prices of key raw materials, expects the prices to be stable in the future.
Another leader in the market, Parle-G has recorded the best sales figures during the three months of ongoing corona pandemic as biscuit sales shoot up due to lockdown.
Over the past three months, biscuits across price points have seen a massive surge in sales volumes. Britannia ‘s Good Day, Tiger, Milk Bikis, Bourbon and Marie and Parle’s Krackjack, Monaco and Hide & Seek sold considerable numbers during the lockdown, experts said.