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Tata Consumer Profit Rises 16% as Salt and New Lines Offset Flat Tea

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Tata Consumer Profit Rises 16% as Salt and New Lines Offset Flat Tea

Tata Consumer Products posted a 15.6 per cent increase in consolidated net profit to ₹470.14 crore for the September quarter, driven by higher salt volumes and faster momentum in packaged foods.

Consolidated revenue climbed 14 per cent to ₹5,661.13 crore, matching analyst projections of ₹5,583.2 crore on revenue and ₹469.2 crore on earnings.

Operating profit grew 18 per cent to ₹794 crore. Operating margins widened by 40 basis points to reach 14 per cent. Underlying volume growth in the core domestic branded business registered at 11 per cent, softening slightly from 13 per cent in the prior quarter. Price revisions took effect across key staples, lifting tea prices by 8 to 10 per cent and salt prices by 6 per cent compared to the first quarter.

Packaged staples and functional beverages now insulate the group from flat demand in legacy grocery lines. The company classified 38 per cent of its domestic business as growth portfolios, which surged 40 per cent year on year. Tata Sampann, covering spices, culinary oils and packaged pulses, reported 57 per cent year-over-year growth, driven by volume. Cold-pressed oils and dry fruits generated a combined annual recurring revenue run rate of approximately ₹1,000 crore, while ready-to-drink beverages like Tata Gluco+ and Tata Copper+ grew sales 47 per cent.

Pricing power in salt proved resilient. Salt revenue increased 15 per cent on 9 per cent volume growth. In contrast, tea revenue slipped slightly as volumes stayed flat, squeezing category turnover despite direct price hikes. That bifurcation mirrors broader supermarket trends across urban India, where branded staples capture market share from unorganised mills while mass hot beverages face spending fatigue.


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