Britannia Industries Reports 4.1% Revenue Growth and 23.1% Profit Growth Amid GST Transition

Britannia Industries , one of India's leading food companies, has reported a 4.1% increase in revenue and a 23.1% rise in profit for the quarter ended September 30. The company faced temporary disruptions due to GST rate changes implemented on September 22, affecting 85% of its business.

Financial Performance

Britannia's financial results for Q2 show resilience despite challenges:

Financial Metric	Q2 Result
Revenue Growth	4.1%
Operating Profit Growth	23.0%
Profit Before Tax Growth	24.0%
Profit After Tax Growth	23.1%
Operating Profit Margin	18.3%
Profit Before Tax Margin	18.6%
Profit After Tax Margin	13.8%

GST Impact and Recovery

Executive Vice Chairman Varun Berry indicated that the company lost approximately 2-2.5% in topline growth due to GST implementation disruptions in the final month of the quarter. However, the situation has since normalized, with the company increasing grammage on 65% of its portfolio by the end of October. Full portfolio completion is expected by mid-November.

Market Strategy and Growth Outlook

Berry expressed optimism about future growth, stating, "We are looking forward to a very aggressive top line growth as we move forward." The company is focusing on:

Volume-led growth
Targeting double-digit growth rates
Expanding in adjacency businesses such as croissants, rusks, and wafers

Commodity Prices and Margin Outlook

Commodity prices remained relatively stable, with flour up 2% sequentially and 6% year-over-year. The company expects to maintain healthy margins while focusing on competitiveness and top-line growth.

Leadership Transition

Britannia announced that new CEO Rakshit Hargave will join in December and handle the entire business operations. This transition is expected to bring fresh perspectives to the company's growth strategy.

Rural Market Performance

Despite concerns about the impact of irregular rainfall on rural demand, Britannia reported that its rural business is outpacing urban growth. The company continues to expand its rural distribution network.

Conclusion

Britannia Industries has demonstrated resilience in the face of GST-related challenges and is poised for stronger growth in the coming quarters. With a focus on volume-led growth, regional strategies, and expansion in adjacency businesses, the company aims to cement its position in the Indian food industry.

As Varun Berry summarized, "It's going to be all about top line growth. We are going to become extremely competitive wherever it's necessary."

Investors and market observers will be keenly watching Britannia's performance in the coming quarters to see if the company can achieve its growth targets while maintaining profitability in a competitive market environment.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+0.59%	-0.09%	-3.22%	+6.43%	+20.07%	+67.30%

Britannia Industries Limited, a leading Indian food-products corporation, has announced a significant leadership transition that is set to reshape its top management structure.

Key Leadership Changes

Position	Outgoing	Incoming	Effective Date
Managing Director & CEO	Varun Berry	Rakshit Hargave	December 15, 2025
Interim CEO	-	Natarajan Venkataraman	November 10 - December 14, 2025

Varun Berry, who served as the Vice-Chairman, Managing Director, and Chief Executive Officer, has resigned from his position. His resignation will take effect from the close of business hours on November 10, 2025. The Board of Directors has waived off Mr. Berry's notice period obligation, allowing for an immediate transition.

New Leadership

Rakshit Hargave has been appointed as the new Managing Director and Chief Executive Officer of Britannia Industries. Mr. Hargave's tenure is set to begin on December 15, 2025, subject to approval from the company's shareholders. His appointment is for a term of five years.

Mr. Hargave brings a wealth of experience to his new role:

Previously served as the CEO of Birla Opus, the paints venture of Grasim Industries (Aditya Birla Group)
Held key positions in companies such as Beiersdorf (makers of NIVEA), Hindustan Unilever, Jubilant Foodworks, Nestle India, and Tata Motors
MBA from Faculty of Management Studies, Delhi
Holds a degree in Electrical Engineering from the Indian Institute of Technology, Varanasi

Interim Arrangement

To ensure a smooth transition, Natarajan Venkataraman, the current Executive Director and Chief Financial Officer, will take on the additional responsibility of Interim Chief Executive Officer. Mr. Venkataraman will hold this position from November 10, 2025, until Mr. Hargave assumes office on December 15, 2025.

Strategic Focus

The Board of Directors has identified several growth levers for Britannia's future as a global total Foods Company:

Leadership in innovation and diversification
Aggressive addressing of regional competitors supported by cost efficiencies
Profit improvement through growth in top line and market share gain
Focused growth in adjacency businesses
Expansion of international footprint

The Board has expressed confidence that the management team under the new leadership will be able to drive the company to new heights.

This leadership transition marks a significant moment for Britannia Industries as it aims to strengthen its position in the competitive food products market and expand its global presence.

Shareholder Approval

The company will be seeking shareholder approval for Mr. Hargave's appointment through a postal ballot, details of which will be circulated in due course.

As Britannia Industries embarks on this new chapter, stakeholders will be keenly watching how the new leadership navigates the company's growth strategy and addresses the evolving challenges in the food industry landscape.