Mumbai, India – Britannia Industries Ltd. announced robust financial results for the second quarter of Fiscal Year 2027, with consolidated revenue from operations climbing 16.6% year-on-year (YoY) to ₹5,542 crore. The company's profit after tax (PAT) also saw a significant increase, rising 10.2% to ₹721 crore, according to its latest investor presentation.
Despite these strong performance indicators, Britannia's shares experienced a downturn during Friday's trading session, falling as much as 5%. The stock touched a low of ₹4,749.30, compared to its previous close of ₹5,000.
Key Financial Highlights for Q2 FY27
- Consolidated Revenue: Increased 16.6% YoY to ₹5,542 crore.
- Profit After Tax (PAT): Rose 10.2% YoY to ₹721 crore.
- Operating Profit: Grew 8.5% YoY to ₹943 crore.
- Profit Before Tax (PBT): Saw a 10.6% increase to ₹977 crore.
- Operating Profit Margin: Stood at 17%, up from 15.3% in the preceding quarter.
- PAT Margin: Accounted for 13% of total revenue.
For the first half of FY27, Britannia's consolidated revenue reached ₹10,506 crore, marking a 13.1% YoY growth. PAT for the same period increased by 11.7% to ₹1,312 crore.
Broad-Based Growth Across Channels and Businesses
Britannia highlighted broad-based growth across all its sales channels during the quarter. General trade growth in Q2 FY27 was 2.6 times the level recorded in FY26, demonstrating strong traditional market penetration. Other channels, including modern trade and e-commerce, continued their accelerated growth, performing at 1.8 times the pace of general trade. E-commerce notably contributed approximately 7% to the company's overall business.
The company's adjacent bakery businesses, encompassing categories like cakes, rusks, wafers, and croissants, collectively grew by more than 20% during the quarter. The dairy business, driven by strong performance in cheese, ghee, and milk drinks, also recorded double-digit growth. Furthermore, Britannia's international business rebounded strongly, achieving mid-teens growth across its key geographies.
Navigating Input Costs
On the cost front, Britannia reported an increase in several key input costs compared to the year-ago quarter. Refined palm oil costs rose by 17%, milk costs increased by 16%, and industrial fuel costs were up by a significant 45%. In contrast, flour costs declined by 4% during the same period, providing some relief on raw material expenses.