Tata Consumer Products slides 6%; Find out what’s driving the losses

Shares of Tata Consumer Products slumped 6% to an intra-day low after the company reported a 19% drop in its net profit at Rs 217 crore in Q4 FY24 against Rs 269 crore in Q4 FY23. The FMCG major’s revenue from operations came in at Rs 3,927 crore, up 8% year-over-year, compared to Rs 3,618 crore it reported a year ago in the same quarter.

Its consolidated EBITDA stood at Rs 631 crore, an increase of 22% on year. For FY24, the company’s EBITDA was Rs 2,323 crore, an increase of 24% year-on-year.

The stock has fallen nearly 4% in the last five days. However, it has risen more than 25% in the last six months. It has given a return of 52% to investors in the past year and 5.2 times in the last five years. 

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To give a comparison of performance, the sectoral index Nifty FMCG has risen 0.7% in the past five days and over 5% in the past six months. The sectoral index has risen 15% in the last year and 77% in the past five years. 

The company has announced a final dividend of Rs 7.75 per equity share for FY24. The board members will approve the dividend within 30 days of declaration. 

Analysts are waiting for the earnings call with the management later in the evening. 

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