Britannia Q3 Net Profit Rises 2-Fold to Rs 932.4 crore

Bakery food company Britannia Industries Ltd on Wednesday reported a two-fold jump in consolidated net profit at Rs 932.40 crore for the third quarter ended December, helped by a gain from the sale of a stake in a subsidiary. The company had posted a net profit of Rs 369.18 crore in the October-December quarter a year ago, it said in a regulatory filing.

In comparison to the same quarter last year, its overall operating revenue increased 17.39% to Rs 4,196.80 crore from Rs 3,574.98 crore.

According to a joint venture agreement with Bel SA for the cheese business, the sale of 49% of the equity stake in the subsidiary that resulted, as well as the fair valuation of the remaining 51% of the stake, the net profit "included an exceptional gain (net of tax) of Rs 359 crore."

In the third quarter of FY23, Britannia Industries' total expenses totaled Rs 3,475.31 crore, an increase of 11.28 percent from Rs 3,123.02 crore in the equivalent quarter the year before.

Varun Berry, vice chairman and managing director of Britannia Industries, stated that the company's recent strong growth was a result of its sustained emphasis on expanding direct access and advancing the rural agenda.

He added, "Over the past few quarters, we have noticed a solid growth momentum. We have achieved a strong topline increase of 16% YoY because to our go-to-market strategy and investments in brands and innovation (Year-on-Year). The continuous market share gains we've had over the previous 39 quarters show how strong our brand is and how our consumer franchise is expanding ".

Britannia Industries Ltd shares ended the day on the BSE trading 1.19 percent higher at Rs. 4,369.30.