Tata Consumer Products (TATACONSUM) Q3 25/26 earnings summary

Executive summary

• Achieved 15% year-over-year revenue growth in Q3 FY26, surpassing INR 5,000 crore in quarterly revenue for the first time, with strong growth in both Branded and Non-Branded segments and underlying growth of 13% in India and 11% in International business.

• India branded business posted 15% underlying volume growth; tea up 3%, salt up 14% revenue and 15% volume; Tata Sampann up 45%, RTD up 26%.

• Growth businesses contributed 30% of India business, growing at 29%; Tata Sampann up 45% (volume-led), RTD up 26%.

• International business grew 11% in constant currency, led by strong U.S. coffee performance.

• Consolidated EBITDA up 26% year-over-year, with margin expansion of 120 bps to 14.2%.

Financial highlights

• Q3 revenue: INR 5,112 crore (+15% YoY); YTD revenue: INR 15,000 crore (+14%).

• EBITDA: INR 728 crore (14.2% margin, +120 bps YoY); PBT: INR 563 crore (+38% YoY); Group Net Profit: INR 385 crore (+36% YoY).

• Net profit before exceptionals: INR 399 crore (+130 bps YoY); YTD net profit before exceptionals: INR 1,137 crore (+17%).

• EPS (basic) for Q3FY26: 4.04 (+41% YoY); for 9MFY26: 11.50 (+16% YoY).

• Cash position: INR 1,272 crore as of Dec 31, 2025.

Outlook and guidance

• Maintains mid- to high single-digit growth guidance for tea and salt businesses.

• Growth businesses expected to sustain 30% growth; margin improvement targeted through premiumization and scale.

• Expects EBITDA margin to reach 14.5%-15% by Q4, with long-term target of 17%+ for foods business.

• Margin expansion in India expected to continue, aided by lower tea cost inflation; international margins may be pressured by coffee cost inflation and higher brand investments.

• Innovation pipeline remains strong with 15 new product launches in the quarter; national rollout of new go-to-market strategy underway.