Q1 Results 2024 Highlights: Titan’s standalone PAT falls to Rs 770 cr; Britannia’s Q1 Net Profit up 11% at Rs 506 cr

Amit Kumat, MD, Prataap Snacks Limited, said, “We are pleased to report a positive start to FY25 as we reported revenues of Rs 421.44 crore in Q1FY25, higher by 8.7% YoY. There are initial signs of improvement in consumer demand and easing of macro-economic pressures this quarter. Further, our strategic actions of enhancing range selling and implementing Sales Force Automation (SFA) are key drivers of this performance. A key highlight has been the continued strong growth in the categories of Namkeen and Pellets. We have reported an EBITDA of Rs. 30.03 crore in Q1FY25, which represents the 6th consecutive quarter of EBITDA in excess of Rs 30 crore. EBITDA has been impacted by the sharp rise in potato prices this season. We are working on measures such as cost optimization, grammage rationalization and recalibration of channel margins in order to mitigate the impact of higher potato prices.”

Prataap Snacks posted its fiscal first quarter profit at Rs 9.44 crore, down 29.7 per cent in comparison to Rs 13.42 crore recorded during the corresponding quarter of FY24. It posted revenue from operations at Rs 421.44 crore, up 8.7 per cent as against Rs 387.82 crore during the same period of previous financial year. The company EBITDA stood at Rs 30.1 crore, down 8.2 per cent on-year.

Tushar Chaudhari, Research Analyst – Institutional Equities PL Capital, Prabhudas Lilladher, said, “Tata Steel’s (TATA) Q1FY25 cons. operating performance was better than PLe on account of sequential improvement at Tata Steel Europe (TSE) operations. TSE EBITDA loss narrowed further to USD28/t as Tata Steel Netherlands (TSN) delivered EBITDA profit of USD37/t on volume ramp-up post relining. TSUK is expected to become EBITDA positive from Q3FY25 post closure of BF #4 in Sep’24. KPO-II expansion at India (TSI) is progressing well with incremental 1.7mt volumes expected in FY25. For the next phase of capacity expansion in India, work has started at Ludhiana 1mtpa EAF and NINL 4mtpa expansion.”

“Key parameters to watch are a) progress on negotiations at TSN/TSUK for green transition and b) ramp-up of KPO-II BF, which shall drive FY26E volume growth. We cut FY25E/26E EBITDA estimates by 3%-4% considering weak steel pricing. We expect EBITDA CAGR of 47% over FY24-26E on the back of KPO volume ramp-up and TSE turnaround. At CMP, the stock is trading at 7.9x/5.6x EV of FY25E/FY26E EBITDA,” he added.

Amnish Aggarwal, Director Research PL Capital, Prabhudas Lilladher, said, “ITC EBIDTA grew by 0.7% as margins across Paperboard and Agri dragged overall performance despite 7% Cigarette EBIT growth. FMCG business suffered as low paper prices resulted in local competition in Stationary business while heat wave affected sales of Juices, Instant Noodles and snacks. Demand scenario remains positive with expected recovery in demand for both cigarettes and FMCG. We expect ~4% cigarette volume growth in FY25/26 in a steady state given stable taxation and sustained innovations and distribution led gains. Although Hotels have a high base, expect better performance in the balance year due to sustained demand. We believe paper margins have bottomed out and expect recovery to set in from 2H. Agri business margins will expand in 2H25 only as higher leaf tobacco get absorbed in the product prices.”

“We cut our FY 25/26 estimates by 1.8%/0.7% & estimate 6.9% EPS CAGR over FY24-26 given marginal improvement in Other Income & pressure in Paper and Agri margins. ITC trades at 26.4x FY26 EPS with ROE/ROCE of 31/41.2% and ~75%+ dividend payout,” he added.

Max Healthcare Institute Ltd reported its fiscal first quarter profit decline of 1.6 per cent at Rs 236.27 crore in comparison to Rs 240.08 crore recorded during the corresponding quarter of previous financial year. It posted revenue from operations at Rs 1542.95 crore, up 20.1 per cent as against Rs 1284.99 crore posted during the same period of last year. The company EBITDA stood at Rs 387.41 crore.

Kaustabh Pawaskar, Deputy VP, Sharekhan by BNP Paribas, said, “ITC Q1 performance was largely mix with revenues growing by 7% while unfavorable mix led to decline in the OPM during the quarter. Cigarette business and FMCG business faired well with 6-7% revenue growth and better margins, while Agri and paperboard, paper & packaging saw dip in the profitability impacting overall margins of the company. Cigarette business volume growth to sustain with no increase in tax in the recent budget while outlook for FMCG business is improving. Valuation continues to trade at a discount compared to large peers, which makes it a preferred pick in the space.”

Today, companies like Hindustan Zinc, Titan Company, Britannia Industries, GlaxoSmithKline Pharmaceuticals, Delhivery, Kirloskar Brothers, IDFC, Zydus Wellness, Saregama India, Infibeam Avenues, NESCO, Samhi Hotels, SML Isuzu, Taj GVK Hotels & Resorts, NIIT, Mafatlal Industries, LIC Housing Finance, and many others are slated to report their quarter earnings.

With a number of major companies like TCS, HCL Technologies, Infosys, Wipro, Tech Mahindra, Nestle India, HUL, ITC Ltd, Maruti Suzuki, Paytm, CEAT, DLF, and many others already having released their Q1 results, the Q1 earnings season is now in full swing. We are continuously reporting these numbers and with this live blog, will continue to update you with all the numbers released by companies across sectors. Stay tuned.