Tata Global Beverages, in the morning trades was up amongst the top gainers but since then has slipped from there but nevertheless remains firmly in the green. Intra day, it hit a high of Rs.137.90, up some 6% and is now at Rs.136 levels.

The market has moved on from the Union Budget of yesterday and is now back to tracking companies and their results. For Q3FY17, the company posted a consolidated net profit of Rs.144 crore, up 118% (YoY) on a 3% increase in total income at Rs.1744 crore. This phenomenal surge in bottomline despite the meagre rise in topline can be directly attributed to the exceptional gain of Rs.49 crore v/s an exceptional loss of Rs.11 crore in previous Q3. But even if we remove this exceptional gain, the rise in net profit is very healthy at 44%.

Though advertising costs for the quarter jumped up 21%, it kept a tight leash on other costs and kept the total operating costs capped at same level as in Q3FY16. A 55% increase in other income, a 29% reduction in interest outgo helped the overall net profit.