Tata group stock jumps 4% after its net profit increases by 34% YoY

Synopsis: Tata Consumer surged 4% as Q3 revenue rose 15% YoY and PAT jumped 34%, driven by premium beverages, foods, international expansion, and strong margin recovery.

The shares of this company, which offers products like tea, coffee, salt, water, pulses, spices, and ready-to-drink beverages, are expanding from core tea/coffee into broader packaged foods, in focus after strong Q3 results.

With a market capitalization of Rs 1,17,385 crore, Tata Consumer Products Ltd’s shares today made a day high of Rs 1,200, up by 4 percent from its today’s low of Rs 1,153 per share. The shares of the company have given a return of 113 percent over the last 5 years.

Results Highlights 

QoQ View: The revenue from operations grew by 2.9 percent to Rs 5,112 crore, corresponding to the last quarter in the same financial year. Accompanied by PAT growth of 1.4 percent QoQ to Rs 402.79 crore, resulting in an EPS of Rs 3.88 per share in Q3 FY26.

YoY view: The revenue from operations grew by 15 percent to Rs 5,112 crore, corresponding to the same quarter in the last financial year. Accompanied by PAT growth of 34.3 percent to Rs 402.79 crore compared to Rs 299.75 crore in Q3 FY26, resulting in an EPS of Rs 3.88 per share in Q3 FY26.

Factors that led Broad-based Q3 Growth

• Solid revenue and profit growth: Tata Consumer delivered a strong Q3 performance, with revenue rising 15 percent YoY to Rs 5,112 crore and PAT surging 34 percent YoY to Rs 403 crore. The growth was broad-based, supported by sustained demand across beverages, foods, and international markets, reflecting robust operational execution and effective cost management that boosted margins and profitability.
• Tea, coffee, and RTD fueling momentum: The Indian beverages segment maintained steady growth, driven by coffee, which jumped 40 percent, and Ready-to-Drink (RTD) beverages, which achieved a second consecutive double-digit growth quarter. Tetley expanded its product portfolio by entering the RTD market with new launches, enhancing premium offerings, and catering to evolving consumer preferences in the beverage category.
• Food business thriving: Tata Consumer’s food segment showed strong momentum, with salt sales recording a fourth consecutive quarter of double-digit growth. Tata Sampann accelerated 45 percent YoY, supported by premiumisation and wider distribution. Innovation continued with launches such as Tata Himalayan Rock Salt and Ching’s premium sauces, underlining the company’s focus on value-added, differentiated food products.
• International & retail expansion: Overseas revenue increased 11 percent in constant currency, driven by strong coffee sales in the USA and Tetley in Canada. Tata Starbucks expanded to 504 stores, reinforcing market leadership. The company’s international and retail strategies focus on customer-centric growth, premiumisation, and margin recovery, ensuring steady revenue contributions from both developed and emerging markets.

Tata Consumer Products Ltd. is one of the leading companies of the Tata Group, with a presence in the food and beverages business in India and internationally. It is the second-largest tea company globally and has significant market presence and leadership in many markets. In addition to South Asia (mainly India), it has a presence in various other geographies, including Canada, the UK, North America, Australia, Europe, the Middle East, and Africa.

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