It’s a Good Day: Britannia crosses ₹1 lakh crore in market cap

Nov 9, 2022

By: Rounak Jain

Britannia’s Q2 in numbers

Britannia reported 21.4 percent YoY growth in revenue to ₹4,338 crore, while net profit grew 28 percent YoY to ₹493 crore.

Credit: Britannia

Here’s what analysts expected

Analyst consensus on topline growth was in the range of 12-15 percent.

Credit: Britannia

Volume growth in-line with expectations

The Good Day maker’s volumes also rose 4-5 percent YoY, which is in line with analyst expectations despite multiple price hikes.

Credit: Britannia

Here’s how much Britannia hiked prices

Britannia said it has hiked prices of its products by 22.5 percent over the past 6-7 quarters, against 32 percent inflation during this period.

Credit: Britannia

Rural India market share grows faster

Britannia said it is gaining traction in rural India where its market share growth has been 1.5x compared to the all-India rate during the quarter.

Credit: Britannia

Here’s how Britannia’s new biscuit and other launches have performed

Britannia’s recent launches – Biscafe, Nutrichoice Seeds, Herbs & Protein have seen a revenue growth of 2.5-2.9x on a sequential basis, the company said.

Credit: Britannia

Premiumisation and new launches aid topline growth

New launches like Biscafe, Potazos, Wafers and Croissants are together expected to cross ₹350 crore in annualised revenue run rate in FY23, according to analysts.

Credit: Britannia

Gaining market share for 38 consecutive quarters

In its earnings call, Britannia said it has been gaining market share for 38 consecutive quarters.

Credit: Britannia

Here’s what analysts saying

Analysts have given target prices in the range of ₹4,063-5,000 per share over the next 12 months.

Credit: Britannia

Looking ahead

Britannia’s management expects wheat and milk prices to remain elevated, while palm oil prices are stabilizing. Overall, it expects raw material prices to remain stable.

Credit: Britannia

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