Q4FY22 Preview: Britannia: Revenues seen at Rs34,524 million, PAT at Rs3,912 million

30 Apr 2022 , 10:17 AM

Result date: 2^nd May, 2022
Recommendation: Add
Target price: Rs3,750

Britannia is expected to clock double-digit sales growth in the March 2022 quarter. Volume growth is pegged at 1% in the base business during the quarter. Consequently, revenue could grow 13.6% year-on-year to Rs34,524 million.

Rising input cost pressures could weigh on the company’s gross margins. However, strong cost rationalization efforts could reduce the impact on EBITDA margin.

Profit After Tax could come in at Rs3,912 million, up 7.4% over the year-ago quarter.

Important management insights to watch out for:
·         Outlook on demand across all segments and markets
·         Trends in input cost inflation, pricing action planned and margin levers
 

Rs Million	March 2022 estimates	YoY change
Revenue	34,524	13.6%
EBITDA	5,401	6.9%
Profit After Tax	3,912	7.4%

Source: IIFL Research