Tata Group FMCG Firm Declares 13% Jump In Q2 Revenue, Shares Slip 8.8%; Should You Buy?

Large cap FMCG giant of Tata Group, Tata Consumer Products Ltd (TCPL) on October 18 declared flat net profit at Rs 359.3 crore for the quarter ended September 30, 2024. The company declared its revenue from operations surged to Rs 4,214.5 crore, up 13% as compared to Rs 3,733 crore for the corresponding quarter of last year. The EBITDA of TCPL came at Rs 626.3 crore, up 16.6% for the September 2024 quarter as against Rs 537 crore in the similar quarter of last fiscal. Last trading price of Tata Consumer Products Ltd shares on BSE stood at Rs 1094.65 per share. Tata Consumer Products shares slipped 8.8% in last 1-month. The company's market cap stood at Rs 1,08,305.06 crore. Tata Consumer Products shares offered 24% return in last 1-year. Check details below:

TCPL Declares Q2 Results: As per the exchange filing of TCPL, the EBITDA margin announced at 14.9% for the quarter under review. Meanwhile, for the quarter, TCPL's revenue from operations zoomed 13% (12% in constant currency). Barring acquisitions, the growth remained at 5% (4% in constant currency). Consolidated EBITDA witnessed a surge of 11% pushed by global and non-branded business.

Sunil D'Souza, Managing Director and CEO of Tata Consumer Products, said, "We delivered a topline growth of 13% in Q2 FY25, with an EBITDA growth of 11%. During the quarter, we recorded continued growth & market share gain in the India salt business, and strong growth in Tata Sampann and Tata Soulful. Our India tea business was impacted by subdued category trends. With the integration completed for both Capital Foods and Organic India, we are starting to see strong synergy benefits and both businesses witnessed strong quarter-on-quarter growth. Tata Starbucks reached the milestone of being the largest café operator by store count, with 457 stores across 70 cities."

Should You Buy TCPL Shares? Brokerage house ICICI Securities has recommended buy call to TCPL shares with target price of Rs 1385 per share.

Tata Consumer Products Ltd Stock Split History: TCPL split the face value of its shares once since June 30, 2010. It last split the face value of its shares from Rs 10 to Re 1 in 2010.The share traded ex-split as on June 30, 2010.

Tata Consumer Products Shares Performance & Return: Tata Consumer Products Shares Performance & Return: The 52-week high price of Tata Consumer Products shares on BSE is Rs 1254.36 per share (as on 07/03/2024) and 52-week low price is Rs 861.39 per share (as on 26/10/2023), respectively. Tata Consumer Products shares gained 43% in last 2-years, soared 31% in last 2-years, and offered return of 293% in last 5-years.

Shareholding Pattern: FII/FPI have increased holdings from 24.12% to 24.35% in September 2024 quarter. Number of FII/FPI investors jumped from 976 to 1012 in September 2024 quarter. Mutual Funds have increased holdings from 6.99% to 7.89% in September 2024 quarter. Number of MF schemes zoomed from 53 to 58 in September 2024 quarter. Institutional Investors have increased holdings from 42.86% to 43.13% in Sep 2024 quarter. Life insurance corporation of India has 7.47% stake in TCPL.

Tata Consumer Products About: Tata Consumer Products is a focused consumer products company uniting the food and beverage interests of the Tata group under one umbrella. It is home to key brands such as Tata Tea, Tetley, Tata Salt and Tata Sampann. With a combined reach of over 201 million households in India, it has an unparalleled ability to leverage the Tata brand in consumer products.

Disclaimer: The stock has been picked from the brokerage report of ICICI Securities. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.