Britannia Industries

Britannia Industries Limited, formerly known as Britannia Biscuit Company Limited, is one of the largest players in the fast-moving consumer goods (FMCG) sector. The company specialises in biscuits, breads, snacks and dairy products. A part of the Wadia Group, the company was founded in 1892 when a group of Kolkata-based entrepreneurs started a biscuit-making company.

By 1921, it became the first company in the biscuit industry to install specialised foreign ovens. Later, it supplied 'service biscuits' to soldiers during World War II. Expanding its footprint, Britannia established a new factory in Mumbai in 1924 and formed a strategic partnership with Peek Frean & Company Limited, a big biscuit manufacturer from the United Kingdom. Over the years, the company faced several transformations, and in 1979, it was renamed as Britannia Industries Limited. The company introduced the iconic 'Britannia Tiger' biscuit in 1993 for children. It ventured into the dairy products segment in 1997.

Currently, Britannia has become a household name across India. The market capitalisation of Britannia Industries Limited stood at ₹1.26 crore as of December 26, 2023. Britannia share price has gained more than 44% in the last three years.

Business operations

Britannia's product portfolio includes biscuits, cakes and dairy items that cater to the needs of customers across all age groups. Most popular biscuit products include Good Day, Marie Gold, 50-50, Pure Magic, Milk Bikis, Bourbon, Nice Time and Little Hearts. The company also manufactures and sells NutriChoice Digestive and NutriChoice 5 Grain biscuits for health conscious customers.

In the bread category, it offers whole wheat breads, white sandwich breads, and a variety of bread assortments. Under the dairy segment, its products include cheese, fresh dairy items and accompaniments. In the cakes category, Britannia offers bar cakes, chunk cakes, nut & raisin romance, and muffins.

To widen its global presence, Britannia established a joint venture with Bel SA, a popular global company, in branded cheese, in 2022. Similarly, in 2018, Britannia signed another joint venture with Chipita, a global leader in long-shelf-life filled croissants.

Over the years, the company has expanded its reach through various business collaborations.

Britannia Industries has acquired Kenafric Biscuits Limited in Kenya and Catalyst Britannia Brands Limited in Mauritius. Kenafric Biscuits Limited, Kenya, helps Britannia Industries to cater to the diverse needs of the customers in East African consumers.

The company caters to the customers across India through its vast distribution network. As of March 31, 2023, the company’s distribution network included 26.8 lakh outlets.

The FMCG giant also supports new businesses and startups through Britannia Marie Gold My Startup Contest Journey. In the last four seasons of the contest as of March 2023, the initiative funded 30 business ventures and helped to create 18 successful startups.

Financial Highlights

• Consolidated revenue from operations for FY23 stood at ₹16,300.55 crore, up 15.3% from ₹14,136 crore in the preceding financial year.
• In FY23, its profit after tax (PAT) stood at ₹2,321.77 crore, a growth of 52.3% year-on-year as against ₹1,524.82 core in FY22.
• Its operating profit margin increased to 16.3% in FY23 as against 14.4% in FY22.
• The company’s profit before tax stood at ₹3,032.77 core in FY23 as against ₹2,078.33 core in FY22.
• Its earnings per share (EPS) stood at ₹96.39 in FY23 compared to ₹63.31 in the previous financial year.