Results for Quarter ended September 2014

Consolidated Results:

Income from Operations for the quarter at Rs 2022 crores, up by 5%
Profit from Operations for the quarter at Rs 152 crores up by 20%

Tata Global Beverages Ltd. today announced its results for the quarter ended 30th September 2014. The company reported a steady growth in revenue and good growth in operating profits as compared to the same period in the prior year. Both tea and coffee segments performed well.

For the quarter, Income from operations at Rs 2022 crores increased by 5% as compared to the corresponding quarter of the previous year. Profit from operations at Rs 152 crores is 20% higher than the corresponding quarter of the previous year. The improvement in branded business more than offset the impact of lower crop available for sale in the plantation business and spends in new ventures. Tax charge is high mainly due to tax on higher quantum of dividend received from overseas subsidiaries, a substantial part of which can be offset against dividend distribution tax which is not a charge against profits but a subsequent appropriation.

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

Tata Tea launched its Acti Green variant in India last quarter aimed at popularising green tea and making it accessible to a wide range of consumers, keeping tea drinkers revitalised through the day. It is available at convenient price points and milder blends, in exciting Indian flavours of 'Elaichi' (Cardamom), 'Tulsi-Nimbu' (Basil-Lemon) and regular 'Green Tea'. This launch further strengthens Tata Global Beverages' green tea portfolio in India.  In the UK, Tetley continues to retain leadership in high growth, specialty categories. Tetley in UK scored a hat trick at the 'Great Taste' awards 2014 with three of its products winning awards. Tata Global Beverages entered the premium black tea segment in Australia with the launch of Tetley Tea Master's Selection, a range of single origin teas.

In the water segment, Himalayan natural mineral water was launched in Mumbai and Delhi in a sparkling variant. Sparkling Himalayan is a natural, mineral enriched water with added mild carbonation. Each sip has a cool, distinct taste that delights the palate. Tata Water Plus and Tata Gluco Plus expanded their reach to three more states- Maharashtra, Gujarat and Uttar Pradesh.

Tata Starbucks - a joint venture between Tata Global Beverages and Starbucks has
entered Hyderabad. There are now 59 Starbucks stores spread across Mumbai, Delhi, Bangalore, Pune, Chennai and Hyderabad. The stories continue to witness excellent customer response.
Eight O' Clock coffee in the US launched an impactful promotion campaign together with Warner Bros. centered around the 20th anniversary of the Emmy award winning TV series 'Friends.' The campaign met with enthusiastic response from coffee lovers.

Mr. Ajoy Misra, Managing Director and CEO of Tata Global Beverages, said - "We will continue to focus on innovations based on strong consumer insight across tea, coffee and water.
The last quarter has seen new launches and campaigns across geographies inspite of a challenging market environment. We are committed to growth through further strengthening our brands and strategic alliances."

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