According to latest reports from The Hindu BusinessLine, Britannia Industries delivered robust first quarter results for FY27, with consolidated net profit rising 14.1% year-on-year to ₹593 crore, compared with ₹520 crore in the corresponding quarter last year. The company's consolidated sales rose 9.5% YoY to ₹4,964 crore in Q1 FY27, while total income increased 8.2% YoY and 6% QoQ to ₹5,061.38 crore. However, the profit fell short of analyst expectations of ₹605 crore, as reported by LSEG. The profit after tax jumped 14.08% YoY at ₹593 crore, compared with ₹520 crore in Q1 FY26, with earnings per share standing at ₹24.55, up 13.55% YoY from ₹21.62 in Q1 FY26. The profit before tax stood at ₹797.35 crore, up 13.7% YoY and 1.6% QoQ, demonstrating strong operational efficiency. The EBITDA increased 11% YoY to ₹840 crore, compared with ₹757 crore in the same quarter last year, with EBITDA margin expanding marginally to 16.81% from 16.38% a year earlier, showing improved operational leverage despite cost pressures. Operating profit rose 12.7% to ₹761 crore, though profit margins dipped compared to recent quarters, with profit after tax at 11.9% of revenue versus 13.4% for the full year FY25-26. The board also declared a final dividend of ₹90.5 per share, as reported by The Hindu BusinessLine.
According to NDTV Profit, Britannia delivered 9% volume growth during the quarter, significantly ahead of management's expectations of 5% to 6%. The company's exit-month sales growth accelerated to 15% year-on-year, indicating that demand improved as the quarter progressed. This strong volume performance has bolstered investor confidence and contributed to the positive market sentiment following the earnings announcement. The management's updated guidance suggests that growth is expected to accelerate further in the September quarter, with Nuvama Institutional Equities noting that "the worst is behind" for the company. As per The Economic Times, CEO Rakshit Hargave noted that "the year started with West Asia conflict, leading to steep increase in cost of fuel and shipment charges across domestic and international businesses," which the company navigated well during the quarter. According to Business Standard, pricing growth was in the low single digits, resulting in healthy volume growth of 6-7% year-on-year, largely in line with expectations. The company's management noted that most key categories saw positive sequential momentum, with the business exiting the quarter at mid-teen revenue growth driven by rapid expansion in e-commerce, strong general trade performance and higher spending on advertising, influencers and promotions.
According to The Financial Express, Britannia's international business showed signs of recovery as supply chain constraints eased towards the end of the quarter. The company is experiencing stronger activity in e-commerce, while general trade benefited from higher advertising, influencer marketing and promotional spending. Nuvama Institutional Equities highlighted that "international business recovered sequentially as supply chain constraints eased towards the end of the quarter," supporting the positive analyst outlook. The company has continued to introduce new products and marketing campaigns across brands such as Marie Gold, NutriChoice and Little Hearts. As per The Economic Times, CEO Rakshit Hargave noted that "the year started with West Asia conflict, leading to steep increase in cost of fuel and shipment charges across domestic and international businesses," which the company navigated well during the quarter. The international business recovery is expected to be the fundamental growth driver for future performance, as noted by Nuvama Institutional Equities.
According to Business Standard, Britannia's consolidated gross margin expanded by 120 basis points year-on-year but contracted 60 basis points quarter-on-quarter to 41.5%. The EBITDA margin expanded 40 basis points year-on-year to 16.8%, though it contracted 130 basis points quarter-on-quarter. As per The Financial Express, gross margin expanded 192 basis points YoY, while EBITDA margin expanded 42 basis points YoY, taking them to 41.1% and 16.8% respectively. As reported by The Economic Times, CEO and MD Rakshit Hargave highlighted the company's resilient performance despite geopolitical challenges, stating that "the quarter began with conflict in West Asia, resulting in a sharp increase in fuel costs and freight charges across both domestic and international operations." He noted that the company will rely on "accelerated cost efficiency initiatives" and disciplined margin management to navigate geopolitical uncertainties in West Asia. The management attributed this performance to rapid scaling in e-commerce and robust growth in general trade, with focus on delivering healthy, sustainable revenue growth amidst an improving domestic demand environment. According to Moneycontrol, the company gained market share through scale-up in e-commerce, supported by continued product innovation, higher spending on advertising and promotions, and strong growth in general trade driven by its regionalisation strategy, with the launch of the Dubai Kunafa Croissant during the quarter. Input cost pressures from industrial fuel, laminate, and milk remain elevated, though strategic forward covers have partially cushioned the impact, as noted by the company's management.
According to The Hindu BusinessLine, Britannia shares jumped 2.15% to ₹5,520 on Friday afternoon, touching an intraday high of ₹5,660, as investors responded to the company's first-quarter results. The stock opened at ₹5,502.50 against the previous close of ₹5,404, with traded volume crossing 10.41 lakh shares by early afternoon and total traded value standing at ₹583.50 crore, reflecting active interest in the counter. The sharp surge came after the biscuits maker posted higher quarterly profit and signalled stronger demand, prompting analysts to reaffirm its growth outlook despite lingering cost pressures. However, Britannia is lying in negative territory for 2026 so far as the counter has lost 8.15% despite the positive quarterly results. The stock remains well below its 52-week high of ₹6,336 touched in September 2025, while it has recovered from its 52-week low of ₹5,035 hit in June 2026. According to Moneycontrol, Britannia shares rose nearly 5 percent on Friday after the company reported a 14.08 percent increase in consolidated net profit for the June quarter, with the stock climbing 4.73 percent to an intra-day high of ₹5,660 on the NSE in an otherwise weak market. The common thread across brokerages was a margin miss offset by a stronger-than-expected revenue exit rate, with analyst reactions being broadly cautious despite acknowledging improving growth momentum.
According to The Hindu BusinessLine, analysts at Macquarie said improving domestic demand and market share gains would be key near-term growth drivers. The brokerage said the management's commentary remained positive, highlighting that the company exited the quarter with mid-teens revenue growth. Investec said easing supply-chain constraints could support margins and maintained its "hold" rating with a price target of ₹5,851. As per Moneycontrol, Nomura maintained a 'Buy' rating on the stock with a target price of ₹6,500 per share, implying an upside potential of more than 20 percent from the previous closing price, expecting Britannia to deliver an earnings per share compound annual growth rate of 13 percent over FY26-FY29. However, JM Financial stood apart with a Buy rating and the highest target price of ₹6,355, noting an in-line revenue performance and an exit run-rate of mid-teen revenue growth, with the brokerage estimating volume growth at 6-6.5% for the quarter. Goldman Sachs and JPMorgan both carry Neutral ratings with targets of ₹6,000 and ₹5,900 respectively, with Goldman flagging an improving growth trajectory while JPMorgan flagged input cost volatility as a key monitorable. Morgan Stanley is Equal-weight with a ₹5,848 target, calling improving growth commentary a key positive even as margins missed. However, Macquarie remains the most bearish, with an Underperform rating and a ₹4,800 target, attributing the quarter's miss to higher other expenses. The company's revenue from the sale of products rose 9.47% to ₹4,964.37 crore during the quarter, while revenue from operations increased 8.17% to ₹4,999.97 crore, with a 59% decline in other operating income due to lower state fiscal incentive entitlements.
