Results for Quarter ended June 2014

Consolidated Results:

Income from Operations for the year at Rs 1913 crores, up by 5%.

Tata Global Beverages Ltd. today announced its results for the quarter ended 30th June 2014. The company reported a steady growth in revenue as compared to the same period in the prior year.

For the quarter, Income from operations at Rs 1913 crores increased by 5% year on year. Profit before exceptional items at Rs 169 crores is 4% lower than the corresponding quarter. While branded business performed well, profitability was impacted by lower crop available for sale in the plantation business and investment in new ventures.

During the quarter, Tata Global Beverages continued to focus on strengthening its brands across tea, coffee and water.

Tetley Green Tea in India continues to make good progress. The marketing campaign focused on ‘cleansing from within’ has seen good consumer response.  Alongwith leveraging the health & wellness trend, Tetley Green Tea offers 6 delicious flavours, which are customized to the Indian palate. In the Middle East, following the successful launch of Tetley Drawstring teabags in Kuwait, the brand is now being expanded to other regions in the Middle East. The marketing campaign ‘Squeeze more out of life,’ effectively combines the functional attributes of the teabag with lifestyle positioning.

In the water segment, Tata Gluco Plus from NourishCo  (a joint venture between Tata Global Beverages and PepsiCo) has now entered Maharashtra and Gujarat. Tata Water Plus, India’s first nutrient water entered Uttar Pradesh recently.  

With the acquisition of the ‘MAP’ brand is Australia, Tata Global Beverages’ brand portfolio in Australia has expanded to include coffee. The Company is looking at opportunities to further strengthen and grow the MAP brand in the roast & ground segment as well as in ‘single serve’ coffee.

Tata Starbucks – a joint venture between Tata Global Beverages and Starbucks has now
entered Chennai. There are now 51 Starbucks stores spread across Mumbai, Delhi, Bangalore, Pune and Chennai. The stories continue to witness excellent customer response.

Mr. Ajoy Misra, Managing Director and CEO of Tata Global Beverages, said – “We are committed to investing behind our brands, in a challenging market environment.
Tata Global Beverages is leveraging key consumer trends like health & wellness and convenience to develop and market differentiated product offerings in tea, coffee and water. In addition to organic growth, innovation, category expansion and strategic alliances will drive growth for the business.”