Britannia FY11 net up 30%
Britannia Industries has reported a higher-than-expected 30% rise in its net profit for the year ended March 2011 by pushing premium products and improving cost efficiency.
By ET Bureau |
BANGALORE: Biscuits maker Britannia Industries has reported a higher-than-expected 30% rise in its net profit for the year ended March 2011 by pushing premium products and improving cost efficiency to offset high input costs.
The maker of Good Day and Tiger biscuits reported a consolidated net profit of 134.34 crore for 2010-11 on consolidated net sales of 4,605.16 crore, up 22% from the previous year.
"Food inflation has come down. We are seeing a more moderate scenario compared to last year," Britannia MD Vinita Bali said.
For most parts of last fiscal commodity prices including wheat, sugar and palm oil remained firm. And Britannia's raw material costs for the year increased 34% to 2,711.66 crore.
Yet, the company posted a 60 basis point improvement in operating margin on a standalone basis. It also achieved a volume growth of 15%. Bali attributed it to sales mix, higher operational efficiency and better cost management.
Brokerage firm Angel Broking's Chitrangda Kapur said the company's revenue growth is 2.5% higher than expectations.
The maker of Good Day and Tiger biscuits reported a consolidated net profit of 134.34 crore for 2010-11 on consolidated net sales of 4,605.16 crore, up 22% from the previous year.
"Food inflation has come down. We are seeing a more moderate scenario compared to last year," Britannia MD Vinita Bali said.
For most parts of last fiscal commodity prices including wheat, sugar and palm oil remained firm. And Britannia's raw material costs for the year increased 34% to 2,711.66 crore.
Yet, the company posted a 60 basis point improvement in operating margin on a standalone basis. It also achieved a volume growth of 15%. Bali attributed it to sales mix, higher operational efficiency and better cost management.
Brokerage firm Angel Broking's Chitrangda Kapur said the company's revenue growth is 2.5% higher than expectations.
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