Tata Consumer Q2 Results: Profit Rises 16% To ₹470 Crore, Revenue Grows 14%

Tata Consumer Products Q2 results for FY27 showed consolidated net profit rising 16% year-on-year to ₹469.3 crore for the quarter ended September 30, 2026, compared with ₹404.5 crore a year earlier. Revenue from operations increased 14% to ₹5,661.1 crore, while earnings before interest, tax, depreciation and amortisation (EBITDA) grew 18% to ₹794 crore.

The company’s performance was supported by its India branded business and newer growth categories, including Tata Sampann and ready-to-drink beverages. These businesses grew even as tea demand remained subdued. Tata Consumer said its India branded business recorded underlying volume growth of 11% during the quarter.

Tata Consumer EBITDA Rises 18% To ₹794 Crore

Tata Consumer’s consolidated EBITDA rose 18% year-on-year to ₹794 crore. The improvement reflected stronger operating performance across parts of its portfolio, with its EBITDA margin expanding by around 40 basis points to 14%, according to Reuters’ report on the results.

Revenue from the company’s India business grew 17% to ₹3,666.1 crore. However, performance varied across categories.

Revenue from Tata Salt increased 15%, supported by strong volumes and pricing. Tata Sampann recorded 57% revenue growth, while the ready-to-drink business expanded 47%, aided by distribution gains, premiumisation and new product launches.

The company introduced 22 new products during the quarter across health and wellness, convenience and premiumisation categories.

Growth Businesses Expand 40% As Tea Demand Remains Weak

Tata Consumer’s growth businesses — including Tata Sampann, NourishCo, Capital Foods and Organic India — recorded 40% revenue growth in Q2 FY27. These businesses accounted for 38% of the company’s India business during the quarter.

Tea remained a weaker area. India tea volumes were flat amid subdued category demand, while revenue declined marginally as the gap between volume and value narrowed following pricing actions.

Capital Foods and Organic India reported combined revenue growth of 15%, affected by shipping disruptions in their export businesses. Their domestic revenue grew 24%.

The international business reported 7% revenue growth, although revenue declined 2% in constant-currency terms. In the UK, a continued heatwave affected category consumption, while Tetley outperformed the category. The company’s Tata Starbucks business grew revenue 15% and ended the quarter with 505 stores across 81 Indian cities.

Tata Consumer CEO Flags Volume-Led Growth

Managing director and CEO Sunil D’Souza said the company had delivered its second consecutive quarter of double-digit revenue growth in FY27, supported by underlying volume growth in India. He said this performance, along with disciplined execution, contributed to EBITDA growth.

D’Souza also highlighted the expansion of the company’s growth businesses and its continued investment in innovation. Tata Starbucks recorded its fifth consecutive quarter of positive same-store sales growth, the company said.

Tata Consumer said it would continue to focus on strengthening its core and growth businesses while pursuing profitable growth and developing future-ready capabilities.

The September-quarter results point to continued momentum in packaged foods and newer beverage categories, while tea demand and export-related shipping disruptions remain areas to watch.

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