The share price of Tata Consumer Products rose as much as 6.58% to hit an intra-day high of Rs 1,253.60 apiece on Monday, May 11, after it posted 21.5% year-on-year (YoY) surge in its Q4 consolidated net profit to Rs 419.1 crore.
The world's second largest producer of tea saw its Q4 growth led by its India foods business, international operations and premium beverage portfolio.
The Kolkata-headquartered company also announced its highest dividend payout since 2009, signalling confidence in business growth and cash generation.
Its revenue from operations surged 17.9% YoY to Rs 5,434 crore as against Rs 4,608 crore a year earlier.
At the operating level, EBITDA increased 27.6% to Rs 792 crore from Rs 621 crore in the year-ago quarter, while Ebitda margin improved to 14.6% from 13.5%.
The board of directors recommended a dividend of Rs 10 per equity share for FY26, which subject to shareholder approval at the company's 63rd Annual General Meeting, the dividend will be paid on or after June 15, 2026. The company noted that it's the highest dividend payout since 2009.
It's India branded business delivered robust underlying volume growth of 16% during the quarter and 13% for the full year.
The India foods business revenue grew 21% in the quarter, taking fiscal year 2026 growth to 18%. The salt segment continued to witness strong momentum, with revenue rising 12%, marking the fifth consecutive quarter of double-digit growth.
The FMCG player also expanded its health-focused offerings with the launch of Tata Salt Lo-Sodium Rock Salt and new Tata Sampann protein-based snacks, including Protein Crunch Makhana and Hi-Protein Edamame.
Tata Sampann recorded a 69% rise in revenue during the quarter.
International business revenue grew 21% during the quarter, or 11% in constant currency terms, supported by strong coffee sales in the United States. Eight O'Clock Coffee continued to gain market share in the US market.
Meanwhile, Tata Starbucks also reported its third consecutive quarter of positive same-store sales growth.
As of 11:21 AM, the share price of Tata Consumer Products stood 3.61 % higher at Rs 1,218.70 apiece.
