Today, Britannia Industries Ltd has reported a sharp 118.25 per cent jump in its June quarter consolidated net profit to Rs 542.68 crore. Strong demand for its cookies, cakes and biscuits helped the company draw significant sales as more Indian households turned to branded packaged foods during India’s turbulent lockdown. Consolidated revenue grew 26.6 per cent year-on-year to touch Rs 3,420.67 crore for the three months ended 30 June, the company said in a filing.

Britannia’s earnings come despite several headwinds faced by packaged consumer goods companies as a strict lockdown in India, that started late March and continued under some form of relaxations till May, severely disrupted supplies to the market, shuttered several small stores and wiped off out-of-home consumption. The lockdown also forced several factories to shut temporarily and caused a labour shortage for manufacturers.

While some categories were severely impacted, Indian consumers who were stuck at home turned to packaged food and in-home cooking in a big way, benefitting the likes of Britannia, Nestle and ITC. Other FMCG companies such as HUL and Dabur India are yet to announce their first-quarter earnings.

‘The quarter posed an uphill task for the economy in wake of Covid-19 and caused significant disruptions due to lockdowns imposed to curtail its spread. Factories, depots, transport & vendors across the supply chain were impacted,’ Varun Berry, managing director, Britannia Industries Ltd. (BIL), said in a statement.

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