Tata Consumer Products Shares Jump 4% After 15% YoY Rise In Q1 Profit

Tata Consumer Products Shares Jump 4% After 15% YoY Rise In Q1 Profit -

1) Tata Consumer Products shares surged 4% to an intraday high of Rs 1,104.80 on the BSE on Thursday after the company posted its earnings for the first quarter of FY26. The FMCG major reported a 15% year-on-year rise in consolidated net profit at Rs 334 crore, compared to Rs 290 crore in the same quarter last year. 2) Revenue from operations rose 10% to Rs 4,779 crore, up from Rs 4,352 crore in Q1FY25. However, both profit and revenue missed Street estimates, which were pegged at Rs 355 crore and Rs 4,813 crore, respectively. 3) Despite the topline growth, the company’s consolidated EBITDA declined by 8% on a yearly basis, while EBITDA margins contracted over 250 basis points to 12.7%. The drop was largely attributed to corrections in coffee prices within the non-branded segment. 4) Tata Consumer expects margins in its branded tea business to improve by the third quarter of FY26, aided by moderating auction prices and better pass-through of input costs. The management also noted that performance improvements in NourishCo and Capital Foods remain key focus areas for driving future growth. 5) Overall results are better than expectations. 6) All this is for information. 7) This is not a buy/sell recommendation. Thank you, Technofunda24