In the fiscal year 2024, the premium and sub-premium segments drove over two-thirds of Tata Consumer Products Limited's (TCPL) India Tea revenue growth.
Key brands like Gold, Premium, and Tetley Green showed strong performance, reflecting a notable shift in consumer preferences towards higher-quality offerings, according to the company's filing.
Tata Consumer maintained its market leadership in tea sales through E-commerce. They introduced Tata Tea Gold liquid premix and new flavors of Tata Coffee Gold on E-commerce platforms. Overall, India-branded tea sales grew by 7.3 percent in value.
Also read: Tata Consumer Q4 net profit falls 19% to Rs 217 cr, firm declares dividend of Rs 7.75 per shareIn an investor presentation, the company mentioned that its moving annual total (MAT) market share for tea decreased by 30 basis points in volume and 50 basis points in value over the past year. MAT is the total value of a variable, such as sales figures for a product, over the course of the previous 12 months.
Regarding the tea market environment, TCPL noted that tea prices in North India fell by 8 percent year-on-year due to abundant global supply, impacting Indian exports and domestic prices. South India experienced a 15 percent decrease in tea prices compared to the previous year. Kenyan tea prices remained stable year-on-year and quarter-on-quarter.
In international markets, the US Regular Black Tea market declined by 2.7 percent in value, while the UK market saw a healthy 15 percent growth. The Canadian market also witnessed growth, with Canada Regular Black Tea up by 3.4 percent and Canada Speciality Tea by 5.3 percent.
Also read: Tata Consumer completes Capital Foods integration, expands market reachOn April 23, the company reported a net profit of Rs 217 crore for the fiscal fourth quarter, down 19 percent from the same period last year. Revenue increased by 8.5 percent to Rs 3,927 crore for the three months ended March 31, as per Tata Consumer's exchange filing.
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