Shares of Britannia Industries opened approximately 3% higher on Thursday morning following better-than-expected Q2 results. The company's consolidated net profit for the quarter reached ₹586.50 crore ($78.5 million), surpassing estimates and marking an increase from last year's ₹490.58 crore ($65.6 million), according to a filing with the Bombay Stock Exchange (BSE).
Despite softening input costs, the company's revenue for the quarter under review was slightly below expectations at ₹4,432.88 crore ($593 million), marking a modest year-over-year rise of 1.21%. The maker of Marie Gold biscuits saw its net sales increase marginally to ₹4,370.47 crore ($585 million) from ₹4,337.59 crore ($580 million) year-over-year, contributing to a one percent sales growth over last year.
Notably, the earnings statement revealed an impressive 24-month growth rate of 23%, indicating sustained momentum in the company's performance over a two-year period. This solid growth trajectory underscores Britannia Industries' resilience in maintaining growth amidst challenging market conditions.
InvestingPro Insights
Drawing from InvestingPro's real-time data and insights, Britannia Industries' recent performance can be further analyzed. The company has a low Price to Earnings (P/E) ratio of 9.44, as of the last twelve months of Q4 2022, indicating that it may be undervalued relative to its earnings. Furthermore, Britannia Industries' revenue for the same period was $303.89 million, although the year-on-year growth was -6.57%, suggesting a slowdown in revenue growth.
According to InvestingPro Tips, Britannia Industries yields a high return on invested capital and has maintained dividend payments for 23 consecutive years, reinforcing its reputation as a reliable investment. The company is also a prominent player in the Food Products industry, further solidifying its position in the market.
InvestingPro's platform provides numerous additional tips and data points for a more comprehensive understanding of the investment landscape. For instance, in the case of Britannia Industries, there are 16 additional tips available to users, providing a more nuanced perspective of the company's financial health and investment potential.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.