Britannia: Net profit down 35% in FY 2009/2010

Mumbai / IN. (bi) Britannia Industries Limited, India ´s leading food Company, reported sales of 34’014 million INR for the year ended 31st March 2010, a growth of 9,3 percent over the previous year. Net Profit for the year at 1’165 million INR declined by 35,4 percent and was impacted by one-off cost in excess of 400 million INR. Consolidated sales of 37’708 million INR for the year ended 31st March 2010 grew 10,2 percent over the previous year. Net Profit for the year at 1’031 million INR declined 28 percent. The Board of Directors recommended a dividend of 250 percent. The Board has also approved, subject to shareholders consent, sub-division of each equity share of the face value of INR ten into five equity shares of INR two each. Commenting on the performance, Managing Director Vinita Bali said: «Unabated inflation in commodity prices and increased brand investment in an intensely competitive market, adversely impacted bakery margin. We also had some one-off exceptional items that eroded profitability. The dairy business recorded double digit top line and profit growth and is well poised to be a significant growth vector. Most important, we have a strong conviction about the profitable growth of both our business streams and are working towards delivering that in the future, as we have done in the past».