Britannia: Operating profit grew 10 percent in FY-2023

Bangalore / IN. (bil) Consolidated Sales for the Quarter ended 31st March 2024 stands at INR 4,014 Crores, growing 3.1 percent over last year and Operating Profit stands at INR 708 Crores (17.6 percent of Sales). For the year ended 31st March 2024, Consolidated Revenue of Britannia Industries Limited (BIL), India’s leading food company, stands at INR 16,546 Crores growing 3.5 percent over previous year and Operating profit stands at INR 2,869 Crores growing 10.1 percent (17.3 percent of Sales).

Commenting on the performance, Varun Berry, Vice Chairman and Managing Director, said in May: «In a tepid consumption scenario, our performance this year signifies resilience and competitiveness. Over the past 24 months, we have achieved a strong 19 percent growth in revenue, accompanied by a notable 43 percent increase in operating profit. Our market share rebounded as the year progressed as a result of strategic pricing actions to maintain competitiveness and intensified investments in brands, supported by distribution expansion.

«We significantly expanded our distribution network, reaching approximately 27.9 lakh outlets directly and added around 2000 rural distributors over the past year. Our focus states surpassed other regions in terms of growth, despite a generally subdued rural demand. We bolstered our abilities to capitalize on rapidly growing channels like Modern Trade and E- commerce, both of which experienced double-digit growth compared to the previous year.

«On Cost and Profitability front, we will stay vigilant of the commodity prices and evolving geopolitical landscape. Our Cost Efficiency Program continues to yield operational savings of ~2 percent of revenues, ensuring healthy operating margins. We will continue to invest behind our brands and stay price competitive with a clear objective of driving market share while sustaining profits.

«We remain committed to the ESG framework of People, Growth, Governance and Resources to build a sustainable and profitable business.»