The management announced in a post-earnings conference call that the company is targeting double-digit volume growth this year.
For the fiscal year 2025, the company expects an inflation rate of approximately 3%. Britannia Industries, a prominent FMCG (Fast Moving Consumer Goods) player, has expressed confidence in dealing with commodity inflation next fiscal.
In the course of a post-earnings conference call, Britannia Managing Director Varun Berry gave some insights where he said that next year looks like it will see good levels of inflation rather than deflation. The company predicts inflation at 3 percent for FY25.
Britannia analysis shows favourable conditions for wheat crop with low government reserves. But higher expectations of government procurement post elections can lead to rise in wheat prices through the year. Similarly, apprehensions around sugar production may drive up sugar prices due to inflationary pressures.
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To be proactive, Britannia is intervening to ensure quality standards are maintained and procurement strategies are optimized for commodities.
With monsoon and election outcomes expected to bring some improvements in current economic scenario, Britannia is looking at revenue growth acceleration while ensuring operational resilience given short term margin adjustments due to ongoing projects.
Britannia is targeting double digit volume growth this year with strong focus on future readiness expecting return to market growth driven by improving macros.
While continuing to prioritize its biscuits segment which constitutes significant part of business, They plans to step up investments behind adjacent businesses. The strategy involves consolidating existing product categories rather than entering new ones so as to strengthen presence across markets.
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Despite reporting consolidated net profit of Rs 536.61 crore for March quarter reflecting marginal dip YoY and total revenue witnessing marginal increase to Rs 4,069.36 crore, Britannia remains committed towards its growth trajectory.
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