Tata Consumer Reports 17.6% Profit Growth in Q2 FY27
Tata Consumer Products leads the pack with significant profit growth, while other firms show mixed results in the latest quarterly reports.
Tata Consumer's net profit rose to ₹467 crore, exceeding estimates.
REC's net profit fell by 21.2% to ₹3,478 crore amid declining interest income.
Defence stocks gain attention with ₹2.12 lakh crore procurement approvals.
Tata Consumer Products has reported a notable increase in its net profit for the second quarter of FY27, achieving ₹467 crore, which marks a 17.6% rise compared to the previous year. The company's revenue also saw a healthy growth of 14%, reaching ₹5,661 crore, while its EBITDA increased by 16.5% to ₹783 crore. This performance surpassed the expectations set by a CNBC-TV18 poll, which estimated revenues at ₹5,605 crore and net profits at ₹456 crore. Additionally, Tata Consumer announced a dividend of ₹2.50 per share.
In contrast, REC Limited experienced a significant decline in its net profit, which fell by 21.2% to ₹3,478 crore in the same quarter. This drop is attributed to a 9% decrease in net interest income, which fell to ₹5,478 crore from ₹6,022 crore a year earlier. The company has declared a second interim dividend of ₹3.50 per equity share for FY27, despite the downturn in profits.
Dalmia Bharat reported a net loss of ₹205 crore, a stark contrast to the profit of ₹239 crore recorded in the same quarter last year. This loss includes a one-time exceptional charge of ₹339 crore. However, the company did see a 4.3% increase in revenue, totaling ₹3,563 crore, although its EBITDA fell by nearly 29.2%. The firm declared an interim dividend of ₹4 per share, with a record date set for October 30, 2026.
DCM Shriram also faced challenges, with a 34.09% decline in net profit to ₹105 crore, despite a revenue increase of 21% to ₹4,151 crore. The company plans to invest significantly in various projects, including ₹50 crore in its Shriram Teknor joint venture and ₹145 crore in a solar power plant in Kota.
On a broader scale, defence stocks are in the spotlight following the Defence Acquisition Council's approval of procurement proposals worth ₹2.12 lakh crore. This initiative is expected to bolster domestic manufacturing, with around 82% of the purchases anticipated to be sourced from Indian industries. The approved procurements will enhance capabilities across the Army, Navy, and Air Force, including artillery systems and drones, indicating a robust future for the defence sector.
