Britannia Industries Q4 Results 2022

Food products manufacturing company Britannia posted its quarterly results for Q4 FY22 on May 2, 2022.?

The company reported a marginal increase of 2.1% QoQ in its PAT which came in at Rs 377 crore against Rs 369 crore in the previous quarter. On a YoY basis, the PAT jumped 4.7% to Rs 377 crore from Rs 360 crore in the year-ago period.

The company’s revenue from operations jumped 13.4% YoY to Rs 3,550 crore from Rs 3,130 crore in the previous quarter, while it reduced by 0.6% YoY to Rs 3,550 crore from Rs 3,574 crore in the year-ago period. Britannia’s net worth declined on a YoY basis to Rs 2,558 crore in the quarter under review from Rs 3,547 crore in the year-ago period.

The company’s operating margin improved on a QoQ basis to 14.05% from 13.67%. However, the operating margin reduced to 14.05% from 14.47%. This is mostly on account of an increase in input cost.?

The company’s net profit margin came in at 10.49% against 10.17% in the previous quarter and 11.27% in the corresponding quarter in the previous financial year.

Britannia’s Board of Directors recommended a dividend of Rs 56.5 per share.?

Britannia Q4 Results – Highlights

• Britannia’s consolidated sales for the quarter grew 15% which came in at Rs. 3,508 crore
• The company’s operating profit for the quarter jumped by 10% which came in at Rs 499 crore
• PAT up 2.1% QoQ, 4.7% YoY to Rs 377 crore for the quarter under review
• Revenue from the sale of goods up 15.7% YoY to Rs 3,508 crore from Rs 3,038 crore in the year-ago period
• Revenue from operations up 13.4% YoY to Rs 3,550 crore from Rs 3,130 crore in the previous quarter
• The Earnings Per Share (EPS) up at Rs 15.77 against Rs 15.41 in the previous quarter and Rs 15.13 in the year-ago period

Management comments on Britannia Results

Varun Berry, Managing Director, said that during the March quarter, the company delivered top-line growth of 15%. And mid-single-digit volume growth. Its growth in organized trade channels remained robust, wherein revenues from E-commerce doubled over last year. The company launched new to market innovations viz. Good Day Harmony, Jeera Marie and Nutrichoice Seeds & Herbs and new variants in Croissant & Wafers to further strengthen its offerings.?

• Outlook: On account of the rising cost of raw materials and inflationary pressure across all commodities and across all industries, the company is likely to take price hikes in the coming quarters. According to Varun Berry, Managing Director, Britannia shall further take calibrated price increases and drive cost leadership to manage profitability.

Other things to know about Britannia Industries?

• Britannia Industries’ P/E ratio is at 42.38 against the industry average of 46.38.
• The company’s P/B ratio is at 22.04 against the industry average of 8.88.
• Britannia’s dividend yield is at 4.80% against the industry average of 1.66%

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Research Analyst: Bavadharini KS