Britannia: has seen 30% growth in Bread Business 2008

Mumbai / IN. (bi) For the year ended 31st March 2008, Britannia Industries Limited, member of the Indian Wadia Group and top biscuit maker on the subcontinent, achieved a sales growth of 17,5 percent on an expanded base arising from 27,5 percent growth in the previous year. Net Profit of the Company increased 77,5 percent to 1’910 million INR compared with 1’076 million INR in 2006/2007. Operating Margin increased by 307 basis points to 7,5 percent.

The Company witnessed all round growth in key categories with Biscuits recording sales of 23’299 million INR Bread, Cake and Rusk business crossed the 2’700 million INR mark during 2007-08. This business has doubled in two years.

In an intensely competitive biscuit environment, all «Power Brands» of the Company recorded double digit growth, with Tiger and Good Day growing in excess of 20 percent. The Company´s innovation forays have successfully addressed new benefit clusters and NutriChoice Digestive has claimed its position in the health and vitality space. The Company continues to maintain its leadership edge in six out of seven key product segments, the only exception being Glucose.

The Company introduced several new and renovated offerings in Tiger, Good Day, Treat and MarieGold. The health and nutrition platform was buttressed by Tiger Banana with «iron-zor», fortified Milk Bikis, renovated MarieGold and Nutrichoice Digestive. To tap the more indulgent consumers, the Company launched Good Day Classic Cookies, while continuing to roll out individual consumption packs at the highly affordable five-Rupees-price point.

The Bread, Cake and Rusk portfolio was strengthened with the successful relaunch of Breads, fortified with vitamins and minerals, positioning them firmly as the healthy start to your day. This innovation combined with relevant consumer activation in key markets has seen a 30 percent growth in the Bread, Cake and Rusk business.

As a Corporate, Britannia worked for the benefit of all stakeholders – shareholders, consumers, dealers, suppliers, bankers and employees. It has established an excellent track record in terms of its financial performance and dividends distributed to its shareholders. This has been adequately demonstrated with the Company´s topline growing from 10’301 million INR in 1999 to 26’176 million INR in 2008, a growth of 154 percent over the last ten years. The net profit grew even more significantly at 382 percent from 396 million INR in 1998/1999 to 1’910 million INR in 2007/2008, giving a CAGR of 19,1 percent. As at 31st March 2008, the issued and paid up capital of Britannia amounts to 23’890’163 equity shares having a nominal value of ten Rupees each. The shareholder base is about 25’300 in number (source).