Tata Global Beverages Results for year ended March 2012

CONSOLIDATED : Consolidated operating income for the year at Rs 6631 crores up by 10%.

Group Consolidated Net Profit for the year at Rs 356 crores up by 40%

STANDALONE :Total operating Income for the year at Rs 2035 crores up by 12%.

Net Profit for the year at Rs 303 crores up by 68%

In India we have retained volume and value leadership due to a realignment of the marketing mix focusing on distribution as well as investment in brands. Tata Tea’s ‘Soch Badlo’ marketing campaign to commemorate 25 years of the brand has struck a chord with consumers and increased brand pull. In Canada, we continue to be volume and value leaders. New chai blends dark chocolate and vanilla bean, Perk high caffeine orange pekoe and Green Pomegranate tea launched earlier in Canada are gaining distribution. Tetley Chai Latte, an exciting product combining both coffee and tea has done very well in Australia and Tetley Red Bush continues to be a market leader in Great Britain. Our strategic alliances are a key element of our growth strategy. We announced a joint venture with Starbucks recently to open Starbucks cafes across India. NourishCo, our JV with PepsiCo has launched Tata Water Plus – India’s first nutrient water and Tata Gluco Plus - a glucose based lemon flavoured drink, both of which have been well received.

The Company’s Consolidated total operating income for the year at Rs. 6631 crores was 10% higher than previous year aided by improved performance in most major markets coupled with favourable foreign exchange translation impact. Profit after finance cost but before exceptional items at Rs 551 crores is 14% higher reflecting the improvement in the operating performance and lower finance costs. Profit from ordinary activities before tax and profit after tax are higher than the previous year by 16% and 48% respectively mainly due to favourable impact of higher exceptional income and lower effective tax rate.

In the stand alone Tata Global Beverages Ltd results for the year, total operating Income for the year at Rs 2035 crores increased by 12% over the previous year driven by higher volumes and improved performance in branded tea operations. The Profit before Tax at Rs 370 crores and the Profit after Tax at Rs 303 crores are also higher compared to the previous year driven by improvement in operations, lower finance costs, higher exceptional income partly offset by lower other income.

Issued By : L Krishnakumar