TATACONSUMNSE10 August 2022

TATA CONSUMER PRODUCTS LIMITED has informed the Exchange about Investor Presentation

TATA CONSUMER PRODUCTS LIMITED

August 10, 2022

National Stock Exchange of India Limited Exchange Plaza, C-1, G Block Bandra Kurla Complex, Bandra (E) Mumbai 400 051 Scrip Code – TATACONSUM

BSE Limited Phiroze Jeejeebhoy Towers Dalal Street Mumbai 400001

Scrip Code - 500800

The Calcutta Stock Exchange Limited 7 Lyons Range Kolkata 700 001 Scrip Code – 10000027 (Demat) 27 (Physical)

Sub: Press Release & Investor Presentation - Financial Results for the quarter ended June 30, 2022

Dear Sir/Madam,

We enclose herewith the copy of the Press Release and Investor Presentation with regards to the Unaudited Financial Results of the Company for the quarter ended June 30, 2022.

We request you to take this on record and to treat the same as compliance with the applicable provisions of the Listing Regulations.

Thanking you,

Yours Sincerely,

For Tata Consumer Products Limited

Neelabja Chakrabarty Company Secretary & Compliance Officer

Encl.: as above

11/13 Botawala Building 1st Floor Office No 2-6 Horniman Circle Fort Mumbai 400 001 India Tel: 91-22-6121-8400 | Fax: 91-22-61218499 Registered Office: 1, Bishop Lefroy Road, Kolkata – 700 020 Corporate Identity Number (CIN): L15491WB1962PLC031425 Email: investor.relations@tataconsumer.com Website: www.tataconsumer.com

Aug 10th , 2022

Results for the Quarter ended 30th June 2022

Consolidated Results:

Revenue from Operations for the quarter at Rs 3327 Crs, up 11% (in constant currency up 10%)

Consolidated EBITDA for the quarter at Rs 460 Crs grew by 14%

Group Net Profit for the quarter at Rs 277 Crs grew by 38%

Tata Consumer Products Ltd. today announced its results for the quarter ended 30th June 2022.

Revenue from operations increased by 11% (10% in constant currency) as compared to corresponding quarter of the previous year. Profit before exceptional items and tax at Rs 403 Crores is higher by 19%. Group Consolidated Net Profit at Rs 277 Crores is higher by 38%.

Some of the key Business updates are:

India

• For the quarter, as we corrected tea pricing the India Packaged Beverages business recorded 4% revenue decline on an elevated base that saw 24% revenue growth in the same period last year. We continued to record market share gains in branded tea.

• Coffee volume grew 43% YoY with revenue growth of 73% during the quarter with

new SKU launches and roll out in new geographies.

• Tata Tea Teaveda was restaged in line with simplification and consolidation of

brands under the Tata Tea Premium Masterbrand architecture.

Kirloskar Business Park, 3rd & 4th Floor, Hebbal, Bangalore – 560 024 Tel: 91-80-6717 1200 | Fax: 91-80-6717 1201 Registered Office: 1, Bishop Lefroy Road, Kolkata – 700 020 Corporate Identity Number (CIN): L15491WB1962PLC031425 Email: investor.relations@tataconsumer.com Website: www.tataconsumer.com

• The Kanan Devan tea brand saw outstanding growth led by brand building and on

ground execution.

• Tata Tea released a film on “JaagoRe to Fight Climate Change” with actor Pankaj Tripathi to sensitize people on how we can all take small steps together and help fight against climate change.

• For the quarter, the India Foods business registered 19% revenue growth on an

elevated base that saw 20% growth in the same period last year.

• The salt portfolio continued its momentum and recorded double digit growth during the quarter despite a high base in Q1 last year. The salt portfolio also continued to record market share gains. The premium salts portfolio recorded 36% growth during the quarter, continuing its strong trajectory in line with our premiumisation agenda.

• Tata Salt Immuno with its category-first unique proposition of added Zinc is being

rolled out Nation-wide post encouraging results in the pilot phase.

• Tata Sampann relaunched its spices range with new and improved packaging. The relaunch takes a clutter breaking approach with a dialed up chef endorsement and strong shelf throw. The brand also launched bespoke pure spices for the South India market.

• Tata Sampann’s latest TVC with Manoj Bajpayee builds awareness about Tata Sampann Haldi which has essential oils intact and is sourced from the choicest farms to deliver an enhanced food experience.

• Tata Sampann dry fruits is scaling up well with positive reviews and higher offtakes across e-commerce. The brand is also expanding across select offline retail outlets.

• Tata Consumer Products recently entered the alternate meat segment with the launch of Tata Simply Better- Plant Based Meat (PBM) range. With this new brand, the company is extending its product portfolio into a new category, targeting consumers who are looking to incorporate more plant-based ingredients for health, sustainability or other considerations. https://www.tataconsumer.com/news/tata- consumer-products-enters-alternate-meat-segment-launch-tata-simply-better- plant-based

• Tata Soulfull delivered strong growth during the quarter. The brand recently expanded its wholesome snacking portfolio with the launch of Tata Soulfull Masala Oats+, and millets. https://www.tataconsumer.com/news/tata-consumer-products-expands- wholesome-snacking-portfolio-launches-tata-soulfull-masala-oats

offering with

‘better

oats

you’

for

• NourishCo sustained strong growth momentum during the quarter with a 110% revenue growth led by strong growth across products and geographies. Himalayan recorded excellent growth and was EBIT positive during the quarter. Capitalizing on the brand’s strong brand equity, it is being extended into a provenance brand with the launch of premium honey and preserves sourced from the Himalayan belt. https://www.tataconsumer.com/news/tata-consumer-products-extends-product- category-portfolio-launches-premium-honey-and-preserves

A new campaign was launched for Tata Copper Water and the franchise has scaled to 2.9x.

• We reached new milestones in our Sales & Distribution transformation agenda.

Our wholesale reach is now 2x compared to Q1 last year.

• We continued to see strong growth in alternate channels, with Modern Trade channel growing 35% YoY and Ecommerce channel now accounting for c.8.2% of India business sales, up from 2.5% in FY20.

International

• For the quarter, the International Beverages business revenue grew 9%

• Tetley continued to gain share in the everyday black and specialty segments in UK. A new variant- Tetley Gold Brew was launched to drive premiumization.

• Teapigs in UK continued its strong growth trajectory led by good performance in

out of home, exports and grocery channels.

• Eight O’ Clock coffee in the USA (K cups and Bags) saw share gains and grew ahead of the category driven by distribution expansion and targeted promotions. The brand has partnered with International Woman’s Coffee Alliance in their mission to empower women in the coffee industry to achieve sustainable livelihoods.

• Teapigs continues to drive category growth in the USA and maintained momentum with its cold brew range. It emerged as the fastest growing specialty tea brand during the quarter.

•

In Canada, the new Tetley D2C website was launched. Tetley Super Teas continues to strengthen its presence with direct to home tea sampling and social media campaigns.

Tata Starbucks

• Tata Starbucks recorded revenue growth of 238% for the quarter, albeit on a low

base, led by normalized store operations with lower restrictions.

• Delivery channel salience remained ahead of pre-Covid levels.

• Opened 7 new stores during Q1 and entered four new cities - Jalandhar, Anand, Nagpur, and Calicut. This brought the total number of stores to 275 across 30 cities.

Sustainability Update

• As part of our commitment to sustainability, we recently announced our Sustainability strategy with holistic goals and targets. We have also released Business Responsibility and Sustainability Report (BRSR) for FY ’22 audited by British Standards Institute (BSI), on a voluntary basis. To learn more about our commitments please see here https://www.tataconsumer.com/news/tata- consumer-products-reaffirms-commitment-sustainability-announces- sustainability-targets

• As a testament to its sustainability credentials, Kanan Devan Hills Plantations (KDHP), an associate company of Tata Consumer Products has received Carbon Neutral certification and Negative Emission status by Nansen Environmental Research Centre (India).

• Tata Coffee Limited, a subsidiary company of Tata Consumer Products is Net Zero

for Scope 1 and 2, audited and ratified by BSI and KPMG.

Awards Update

• Tata Consumer Products has been rated as India’s 4th Most Valuable brand in the

Food & Beverage category in the Brand Finance India 2022 report.

• Tata Consumer Products was recognized for Growth Performance (F&B category)

at Dun & Bradstreet corporate awards 2022.

• Tata Consumer Products’ corporate website won the 2022 IABC (International Association of Business Communicators) Gold Quill Award of merit in the ‘Communication skills for the web’ category.

• Tata Coffee Grand won a bronze at the ET Shark Awards for its regional

‘Sounds of Pongal’ campaign.

Sunil D’Souza, Managing Director & CEO of Tata Consumer Products said

“We delivered double digit revenue growth and improved profitability for the company despite a challenging macro environment and inflation impact in some of our categories.

We recorded market share gains in both our core categories of tea and salt in India. Our new engines of growth- NourishCo, Tata Sampann, Tata Soulfull and Tata Q are making good progress and expanding their market presence. We have significantly accelerated the pace of innovation with a number of new launches across categories aimed at expanding our portfolio and reaching new consumer segments. In terms of profitability, we delivered an EBITDA margin expansion YoY, despite severe inflationary pressures in the salt business and significantly higher A&P.

Our transformation agenda continues to be on track. We have increased our reach substantially across channels while strengthening our sales & distribution infrastructure and our digital capabilities. We will continue to stay focused on driving growth and balancing margins in our quest to becoming a leading FMCG company.”

About Tata Consumer Products Limited

Tata Consumer Products Limited is a focused consumer products company uniting the principal food and beverage interests of the Tata Group under one umbrella. The Company’s portfolio of products includes tea, coffee, water, RTD, salt, pulses, spices, ready-to-cook and ready-to-eat offerings, breakfast cereals, snacks and mini meals. Tata Consumer Products is the 2nd largest branded tea company in the world. Its key beverage brands include Tata Tea, Tetley, Eight O’Clock Coffee, Tata Coffee Grand, Himalayan Natural Mineral Water, Tata Water Plus and Tata Gluco Plus. Its foods portfolio includes brands such as Tata Salt, Tata Sampann, Tata Soulfull and Tata Q. In India, Tata Consumer Products has a reach of over 201 million households, giving it an unparalleled ability to leverage the Tata brand in consumer products. The Company has a consolidated annual turnover of ~Rs. 12,400 Crs with operations in India and International markets. Last 10-year financials are available on Historical financial data.

For more information on the Company, please visit our website www.tataconsumer.com

Disclaimer: Some of the statements in this communication may be forward looking statements within the meaning of applicable laws and regulations. Actual results may differ from such expectations, projections etc., whether express or implied. These forward-looking statements are based on various assumptions, expectations and other factors which are not limited to, risk and uncertainties regarding fluctuations in earnings, competitive intensity, pricing environment in the market, economic conditions affecting demand and supply, change in input costs, ability to maintain and manage key customer relationships and supply chain sources, new or changed priorities of trade, significant changes in political stability in India and globally, government regulations and taxation, climatic conditions, natural calamity, commodity price fluctuations, currency rate fluctuations, litigation among others over which the Company does not have any direct control. These factors may affect our ability to successfully implement our business strategy. The Company cannot, therefore, guarantee that the ‘forward-looking’ statements made herein shall be realized. The Company, may alter, amend, modify or make necessary corrective changes in any manner to any such forward looking statement contained herein or make written or oral forward-looking statements as may be required from time to time on the basis of subsequent developments and events.

Investor Presentation

For the quarter ended June 2022

10th August 2022

Disclaimer

Certain statements made in this presentation relating to the Company’s objectives, projections, outlook, expectations, estimates, among others may constitute ‘forward-looking statements’ within the meaning of applicable laws and regulations. Actual results may differ from such expectations, projections etc., whether express or implied. These forward-looking statements are based on various assumptions, expectations and other factors which are not limited to, risk and uncertainties regarding fluctuations in earnings, competitive intensity, pricing environment in the market, economic conditions affecting demand and supply, change in input costs, ability to maintain and manage key customer relationships and supply chain sources, new or changed priorities of trade, significant changes in political stability in India and globally, government regulations and taxation, climatic conditions, natural calamity, commodity price fluctuations, currency rate fluctuations, litigation among others over which the Company does not have any direct control. These factors may affect our ability to successfully implement our business strategy. The company cannot, therefore, guarantee that the ‘forward-looking’ statements made herein shall be realized. The Company, may alter, amend, modify or make necessary corrective changes in any manner to any such forward looking statement contained herein or make written or oral forward-looking statements as may be required from time to time on the basis of subsequent developments and events.

Agenda

Executive summary

Performance overview

Progress against strategic priorities

Macro environment

Business performance – India

Business performance – International

Financial performance

Concluding remarks

Other

We are Tata Consumer Products

In a nutshell

Integrated F&B company with rich heritage of Tata, aspiring for a larger share of the FMCG World

#2 branded tea player globally

₹ 12.4K crore consolidated revenue in FY22 with current market cap of ~₹74k* Cr

Reach north of 200mn households in India and distribute to ~2.6mm retail outlets

Largest salt brand in India

2nd Largest tea brand in India

4th largest tea brand in UK & largest tea brand in Canada

4th largest R&G coffee brand in USA

National brand in pulses, spices and mixes

#1 natural mineral water brand in India

Among the top 10 FMCG companies in India

~3000 employees worldwide

* As of 29th July 2022

Executive Summary

 During the quarter, Consolidated Revenue grew 11% YoY (10% constant currency), despite a challenging macro environment. On a 3-year CAGR

basis, this translates to ~12% revenue growth.

 Consolidated EBITDA for the quarter grew 14% (13% constant currency), with EBITDA margin at 13.8%, up 40bps YoY.

 During the quarter, India business1 grew 9% led by

o India Beverages2 business growth of 3%, with 1% volume growth o India Foods3 business growth of 19%, with -3% volume growth



International business revenue was up 9% during the quarter (+8% constant currency).

 Segment margin for the India business expanded 20bps YoY, despite significant input cost inflation in salt and significantly higher A&P primarily

supported by tea prices cooling off.

 We continued to invest behind our brands – with India A&P4 up 48% YoY, and market share gains continued in both the core categories of tea & salt.

 We accelerated the innovation momentum, with several new product launches in new categories and white spaces.

 Group net profit increased 38% YoY, led by higher EBITDA and improved performance of JV/Associates.

 As part of our sustainability agenda, we have recently announced our Sustainability Strategy with holistic goals and targets (more details on

subsequent pages).

1 Includes India beverages & India Foods business, including NourishCo. 2 Including NourishCo revenue, but volume doesn’t include Nourishco volumes 3 Including Tata Soulfull, Tata Q revenues. Volume doesn’t include Soulfull/Tata Q volumes 4 Standalone Financials – includes India Packaged Beverages and India Foods

6 6

Strategic Priorities

The picture can't be displayed.

Strengthen & accelerate core business

Drive Digital & Innovation

Unlock synergies

Create Future Ready Org

Explore new opportunities

Embed sustainability

Key Businesses snapshot – Q1FY23

India Beverages

India Foods

US Coffee

International Tea

Tata Coffee (incl. Vietnam)

Consolidated

International Beverages

1,309

836

19%

-3%

356

481

302

3,327

20% 15%

2% 4%

25% 24%

11% 10%

-3%

-2%

In ₹ Cr (unless specified)

Revenue

Revenue Growth Constant currency growth

Volume Growth

Key Brands

Note:

a) India Beverages revenue includes India Packaged Beverages + NourishCo (subsidiary effective May’2020), but volume doesn’t include Nourishco volumes

b) India Foods revenue includes Tata Soulfull (subsidiary effective Feb’21) and Tata Q (subsidiary effective Nov’21)

c) International tea business includes UK, Canada, USA, Australia, Europe and Middle East (Middle East has been regrouped from India Beverages in FY21 to International tea from FY22)

d) Tata Coffee incl. Vietnam and excl. USCoffee (EOC)

e) Consolidated revenue includes other non-branded business and Inter-segment eliminations

Group Performance at a glance – Q1FY23

₹ 3,327 Cr.

₹ 460 Cr.

₹ 403 Cr.

₹ 277 Cr.

₹ 295 Cr. ~₹ 1,896 Cr.

Revenue

EBITDA

PBT (bei)^ Group Net Profit Group Net Profit (bei)^

Net Cash$

Growth (Y-on-Y)

11%[10%]

Margin%

Margin expansion (Y-on-Y)

EPS

EPS Growth (Y-on-Y)

^ before exceptional items

$ Cash and Cash equivalents (net of total borrowings) as at June 30, 2022

14%

13.8%

19%

12.1%

38%

8.3%

45%

8.9%

+40 bps

+80 bps

+170 bps

+210 bps

2.77 (EPS)

+38% (EPS)

Making consistent progress on reach

Strong impetus on Direct & Indirect reach

Alternate channels fuelling Growth and Innovation agenda

0.6M

Mar’22

By Mar’23

Direct reach

Wholesale outlet direct coverage

+35% YoY Modern Trade

E-commerce continues to be a strong pillar & testing ground for NPDs

All numbers are for Q1FY23 vs Q1FY22 for India unless specified otherwise

8.2% of Sales

2yr CAGR

Ecommerce

Powering our brands – India Packaged Beverages

Tata Tea launched its iconic “Jaago Re” campaign, emphasizing the need to fight Climate Change with actor Pankaj Tripathi. The campaign aimed to sensitize people on how we can all take small steps together to leave behind a better planet for our future generations

Coffee Sales

All numbers are for Q1FY23 vs Q1FY22 for India unless specified otherwise 1 Standalone Financials – includes India Packaged Beverages and India Foods 2 Source: Nielsen – Value share, MAT basis, JQ’22 vs JQ’21

Tata Tea Gold celebrated Mother’s day in a unique way through print ad with a scannable QR code to create personalized wishes

Tetley celebrated International Day of Action for Women’s Health by collaborating with Leading nutritionist Kavita Devgan, urging women to take care of their well-being holistically

India business1 A&P Q1FY23

Market share

+48% YoY

Tea ~40bps2

Powering our brands – India Foods

Tata Salt latest campaign ‘Sacchai Shuddhta Ki’ drives salience for the key values that consumers love Tata Salt for - the honesty of purity and right amount of Iodine

Rock Salt

75% YOY

Newly launched Tata Salt Immuno with category-first unique proposition of added Zinc is being rolled out Nation-wide post encouraging results in the pilot phase

1 Source: Nielsen – Value share, MAT basis, JQ’22 vs JQ’21

Tata Sampann latest TVC with Manoj Bajpayee builds awareness about Tata Sampann Haldi which has essential oils intact and is sourced from the choicest farms to meet the taste and enhances food experience

Market share

Salt 400bps1

Fueling the innovation funnel

Tata Sampann spices

Tata Coffee Cold Coffee Liquid Concentrate

Tata ORS+

Tetley Cold Brew

Pure spices- Chilies, Turmeric and Coriander for the South India market

A first-of-its-kind liquid coffee concentrate range, designed to make rich and creamy café-styled cold coffee at home

Launch of ORS + with Glucose and Electrolytes in three exciting flavours

Launch of the new Tetley Cold brew – black iced tea in the US

15 15

Enhancing the healthy snacking portfolio

Tata Soulfull is on a mission to bring ancient Indian super grains such as millets to the forefront by making ‘Taste first, health forward’ products that are relevant to today’s consumers.

Tata Soulfull is our brand for breakfast cereals, mini meals, and snacks that operates in the H&W space

 New addition to the snacking portfolio of Tata Soulfull



“Better for you” offering – combining oats and 25% millets

16 16

Extending Himalayan into a provenance brand

Capitalizing on the brand equity of Himalayan to increase its total addressable market

Extending Himalayan into newer spaces

 Premium & authentic products sourced from the Himalayan

belt

 Himalayan preserves are handmade in small batches, from

Himalayan-origin fruit

 Himalayan honey is raw, pure mountain honey, sourced

from beekeepers through a cooperative

 Sourced from partners committed to helping local

communities

A look at our F&B platforms

Current core

Pantry platform

Liquids platform

Mini-meals platform

Horizon 3

Tea, Coffee

Pulses, spices

Water

Breakfast cereals

Protein platform

Salt

Besan, poha, other staples

RTDs

RTEs

RTCs

Dry Fruits

Snacks

18 18

Horizon 3 – Protein platform

Globally, Plant-Based Meat (PBM)/Alt protein is a big trend with the market expected to reach USD 25bn by 20301

It is also a growing opportunity in India with the market expected to reach USD 300-500mn by 20252

Globally 3 considerations are driving the purchase of PBM among consumers

Health

Sustainability

Animal welfare

While it is a nascent category in India, the target consumer base is large

70%+ of the Indian population is flexitarian

A 2017 survey shows that 73% of Indians are deficient in protein3

50%+ of the population in the age bracket of 15-49 years is digitally connected with global trends and looking to improve their lifestyle

1 Grand View Research, PBM Market Analysis Report 2 Internal & external estimates 3 Observer Research Foundation

New engines of growth

YoY Revenue growth – Q1FY23

Striving towards a sustainable future

Our sustained efforts have enabled us to becoming one of the highest –scoring FMCG companies in CRISIL Sustainability Yearbook 2022, securing a place in the ‘Strong’ category. We received an ESG score of 67, up from 66 last year

KDHP – an associate company of TCP has received Carbon Neutral Certification and Negative Emission status by Nansen Environmental Research Centre (India) a testimony to the sustainability credentials

Tata Coffee Limited – a subsidiary company of TCP is Net Zero for Scope 1 and 2; audited and ratified by BSI and KPMG

Disclosing Business Responsibility and Sustainability Reporting (BRSR) on a voluntary basis for FY 22; audited by BSI

Sustainability Strategy

TCPL’s sustainability strategy draws learnings from several sources to strengthen the existing foundation of TCPL’s sustainability agenda

Global

Industry

• Adopt UN Sustainable Development Goals

(SDGs)

• Materiality analysis, sectoral

trends, peer analysis

Regulatory

• Ensure compliance with regulatory

requirements

Organizational

For Better Living

•

Tata Group

Consumer

• Scientifically developed targets

Sustainability Strategy

100% Critical Supplier assessments across all geographies by 2030 100% Sustainably sourced critical raw materials by 2040

Increasing the reach of our product portfolio from 200Mn households to 250 Mn by 2030 100% Sustainable products by volume by 2040

1. 2.

2Mn beneficiaries by 2030 50% diverse workforce by 2030

Net Zero by 2040 across all geographies

1. 2. Water neutral across all operations by 2030 3. 4.

Zero waste to landfill by 2030 across all geographies 100% of packaging material to be recyclable, compostable or reusable across all geographies by 2030

Macro and commodity overview

Global GDP growth trend

Commodity price trend

24.5

20.1

12.2

8.4

6.9

4.9

6.6

5.5

5.4

8.7

3.5

4.1

14.6

2.6

-0.9

Tea Prices

Coffee Prices

233

247

230

$c / KG

194

188

187

100

102

149

115

₹ / KG 212

₹ / KG

101

180

215

122

147

107

226

$c/ LB

2.5

0.7

0.5

-2.3

-7.7

-6.3

-5.0

-9.1 -2.9 -6.6

-21.1

-23.8

Q1FY21 Q2FY21 Q3FY21 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23E

Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23

Q1 FY21

Q1 FY22

Q1 FY23

North India Tea

South India Tea

Arabica Coffee

Robusta Coffee

UK GDP growth

India GDP growth

US GDP growth

Kenya Tea

•

India’s GDP growth for the quarter is expected to be robust due to normalized operations, strong investments and private consumption expenditure despite inflationary headwinds.

• US & UK GDP growth print/estimates are low with high inflation and rapid

monetary tightening. Further, geopolitical developments continue to disrupt supply chains and the overall outlook remains challenging.

• The tea prices in North India saw an uptick due to severe rainfall leading to production loss. South India tea prices remained rangebound during the quarter and significantly lower YOY

• Kenya tea prices saw a slight decline sequentially but were higher YOY

• Arabica and Robusta coffee prices continued to climb and were significantly higher YOY.

Source: BCG, NSO, tradingeconomics.com and Kotak Institutional Research

Source: North India and South India tea auction (Tea Board of India) | Mombasa tea auction (EATTA) | International Coffee Exchange

Market context – category growth rates

Canada

India

+7.9%

+6.8%

+1.2%

+0.7%

+1.9%

+5.2%

Base period growth rates

-2.0%

-0.9%

-21.7% -7.3% -0.7%

-7.6%

+4.2%

-19.8%

-7.2%

+28.4%

US Regular Black Tea

US Bags Coffee

US K-cup Coffee

Source: Nielsen: 12 weeks (Value) – June’22

UK Regular Black Tea

UK Fruit & Herbals Tea

Canada Regular Black Tea

Canada Speciality Tea

India Branded Tea

• Regular black tea category grew in US and UK, rebounding from the declines it saw in the previous quarter, while it declined marginally in Canada.

• Non-black tea (Fruit & Herbal,

Specialty, Decaf, Cold Infusions, etc.) saw a decline in the UK, lapping a high base of last year, while it grew in Canada.

•

India branded tea category grew, on a high base of last year. The value growth was driven by strong volume growth.

• US Coffee (both Bags and K-cups)

continued to grow strongly with K-cups outperformance continuing.

India Packaged Beverages

Tata Tea TeaVeda restaged in line with simplification and consolidation of brands under the Tata Tea Premium Masterbrand architecture

Performance commentary

• Revenue for the quarter declined 4% on an elevated base that saw 24% revenue growth same period last year. The decline was led by pricing corrections with normalizing tea costs.

. • Coffee volume grew 43% YoY with revenue growth of 73% during the quarter

• Margin for India Beverages

expanded YOY, despite increased A&P, helped by lower tea costs

• Kanan Devan saw outstanding

growth led by brand building and on- ground execution.

Other updates

• Tata Coffee Grand expanded its offerings with new SKU launches and roll-out in new geographies

• Gold care has now been rolled out

nationally.

-4%

Revenue Growth

+1%

Volume Growth

~40bps Market Share gain1

1 Source: Nielsen – Value share, Moving Annual Total (MAT) basis June’22 vs June’21

Tetley Mango variant supported with impactful visibility and sampling

India Foods

Tata Sampann Spices range is now available in an all-new avatar with new and improved packaging. Breaking clutter in the category with a dialed-up chef endorsement and strong shelf throw

Piloting Sarvagun Sampann Pulses Dispenser, offering convenience to consumers, and actively stepping up sustainability agenda through packaging optimization

19%

Revenue Growth

Performance commentary

• Salt revenue grew 20% during the

• Tata Sampann portfolio grew 6%

quarter despite a high base (Q1FY22 salt grew 20%).

• The volume decline of 3% came

on the back of 17% volume growth in Q1 last year. The base Tata salt was flat despite a 19% price increase since July’21.

during the quarter, led by short-term impact of trade terms/margin rationalization/realignment across channels and pullback ahead of spices relaunch. This brings the 3- year CAGR of Sampann to 30%.

• Tata Soulfull delivered strong growth

during the quarter.

-3%

Volume Growth

• The premium salts portfolio grew 36% during the quarter; rock salt saw improved penetration with an exceptional growth of 75%.

• Salt margins continued to remain

under pressure impacted by persistent inflation in input costs.

Other updates • Tata Sampann Dry Fruits scaling up well with positive reviews and higher offtakes across E- commerce channels. We are also expanding across select offline retailers.

400bps Market share gain1

• Tata Smartfoodz new portfolio & marketing mix launch on track by Q2/Q3

1 Source: Nielsen – Value share, Moving Annual Total (MAT) basis June’22 vs June’21

NourishCo (100% Subsidiary)

221%

186% 191%

191%

210%

151%

Performance commentary

183Cr

Revenue

• Delivered strong revenue growth of 110% during the quarter. Adjusted for COVID-led disruption, the 3-year CAGR for the business was 38%.

• Himalayan grew 246% YOY and was EBIT+ve during the quarter.

Y P

f o % a s a s e l a S

109%

82%

64%

• The growth was broad-based

across products and geographies

• The business is seeing inflation in COGS and freight, but it was mitigated through cost-saving initiatives and operating leverage during the quarter.

Other updates

• Himalayan as a provenance brand is

being extended into premium preserves and honey.

• GTM expansion and capacity

expansion on track.

+110%

Revenue growth

2.9x Tata Water Plus#

#191% revenue growth YoY

Launched Tata Copper Water campaign to highlight its unique proposition of goodness of water stored in copper vessels now in packaged drinking format

Tata Coffee (inc Vietnam ex EOC) (~58% Subsidiary)

Successfully concluded a detailed study and audit with KPMG, which certified that Tata Coffee sequesters ~7 lakh tonnes of Carbon/annum.

Performance commentary

+25%#

Revenue Growth

• Revenue for the quarter grew 25% led by strong growth across both the extractions and coffee plantations.

• Overall extraction business grew 26% driven by both domestic and Vietnam business, led by peak utilization and well-planned sales.

Extractions

• EBIT grew significantly during the quarter driven by higher realization in both coffee plantation and extraction business and despite lower realization in tea plantations.

Plantations

• Robust growth in coffee driven by

higher sales and realization but partly offset by low realization and sales in tea & phasing in pepper sales.

•

Other updates India extractions business (Instant coffee division) recorded 99% capacity utilization during the quarter.

•

Inflationary challenges continued during the quarter, but they were mitigated through cost management efforts.

+31%

Plantations Revenue Growth

+26%

Extractions Revenue Growth

# Tata Coffee including Vietnam. Does not include EOC

3131

Tata Starbucks (JV)

Performance commentary

99%

Stores re-opened*

• Revenue saw strong growth of

238% on a low comparator, led by normalized store operations with lower restrictions.

• Delivery channel salience remains

ahead of pre-Covid levels.

• Opened 7 new stores and entered 4

new cities during the quarter.

• The business was EBIT positive for

the quarter.

• Expansion into new cities saw encouraging demand and acceptance.

Launched limited-edition Sabyasachi + Starbucks merchandize

Continued efforts to keep innovating with exciting new offerings.

275

Total Stores

Strong sequential recovery

275%

‘

118% 120%

132%139% 131%

133%

129%

110%

207%

200%

197%

Cities

83%

64%

36%

o t d e x e d n

i s e l a S

e n

i l e s a b 0 2 Y F

Other updates • As part of the Starbucks + Sabyasachi merchandise partnership, both the partners have contributed to an NGO, Educate Girls, & positively impacted the lives of 3000 girls.

• Pilot underway in a few cities to drive

traffic and ticket size with new launches to cater to the local taste and preferences.

• Revamped the Food menu with the introduction of freshly assembled sandwiches, small bites, and shareable food.

* As of end of June’22

32 32

Performance commentary

+3%

Revenue Growth#

• Revenue for the quarter grew 3%

(constant currency) driven by Tetley black and Teapigs.

• Tetley continued to gain share in everyday black and specialty segments.

Teapigs launched its first-ever TV ad - ‘Live large, Brew big’ which is gaining traction and positive reviews amongst the target audience

+16%

Teapigs revenue Growth^

• Teapigs grew 16%, led by strong performance in Out of home, exports, and grocery channels.

•

Inflation continues to be a challenge that is being addressed through pricing actions and cost-saving initiatives

19.1%

Value Market share* (in everyday black)

Other updates • Launched Tetley Gold Brew – to

drive premiumization

• Teapigs continues to expand and

secure new listings

Launched a new variant of Tetley – ‘Gold Brew’ supported with influencer campaign

# Constant currency including teapigs ^ Constant currency * Source: Nielsen – Value share, Moving Annual Total (MAT) basis – June’22

USA

Performance commentary

EOC partnered with International Women’s Coffee Alliance in their mission to empower women in coffee industry to achieve sustainable livelihoods.

Teapigs continues to drive category growth and maintained momentum with cold brew range

-11%

Tea Revenue Growth^

4.4%

*Coffee Bags Market Share

15%

Coffee Revenue Growth^

• Coffee: Revenue for the quarter

grew 15% (constant currency) driven by strong volumes in K-cups and price increase.

• EOC (K-cups and Bags) saw share

gains and grew ahead of the category driven by distribution expansion and targeted promotions.

• Tea: Revenue declined 11%

(constant currency) due to softness in the category

• Teapigs emerged as the fastest

growing Specialty tea brand during the quarter.

• Tetley gained market share in the

black hot segment with new listings and innovations

Other updates

• Took calibrated price hikes across brands to mitigate inflationary challenges and sustain profitability

• Strong distribution gains on EOC K-cups riding on the growth in the value segment of 32-count and 48- count value packs

^ Constant Currency Source: *Nielsen – Value share, Moving Annual Total (MAT) basis – Juner’22

Canada

Performance commentary

14%

Revenue Growth^

• Revenue for the quarter grew

14% (constant currency) led by both volume growth and pricing.

• EBIT grew significantly driven by a combination of higher sales, and lower discretionary spends

Continued to drive engagement and build awareness of Cold Infusions through social media, in store-displays and sampling

• There was strong revenue growth across both Regular black tea and Specialty tea during the quarter.

Launched the new Tetley D2C website

Revenue growth in Specialty tea^

27.3%

*Market share

Other updates • Tetley Super Teas continues to strengthen its presence with direct-to-home tea sampling and social media campaigns

• Consumers can now purchase all of their favourite products or try new flavours directly from Tetley.ca – the newly launched D2C website of Tetley.

^ Constant Currency Source: *Nielsen – Value share, Moving Annual Total (MAT) basis – June’22

Performance Highlights - Q1FY23

Standalone

(in ₹ Cr)

Consolidated

(in ₹ Cr)

REVENUE:

1,966

111

2,077

3,008

+6%

319

3,327

• Revenue at Rs 3,327 Crs

•

India Business +9%

International Business +8% (constant

+11%

[10%]

currency)

Q1FY22

Growth

Q1FY23

Q1FY22

Growth

Q1FY23

274

307

403

460

• Non-branded Business +25% (constant

currency)

• EBITDA at Rs 460 Crs, +14%

•

India Business +11%, Gross Margin

improvement partly offset by inflationary

headwinds and higher investment behind

brands and new growth businesses

m o r f

e u n e v e R

s n o i t a r e p o

A D T B E

+12%

+14%

[13%]

•

International Business +9%, led by revenue

Q1FY22

Growth

Q1FY23

Q1FY22

Growth

Q1FY23

[ ] constant currency growth

increase, EBITDA Margins flat

• Non-Branded Business +50%, Higher

realisation led margin improvement in coffee

extraction and plantations

38 38

Financials : Standalone and Consolidated

Standalone

Q1FY23

Q1FY22

Change %

Profit and Loss statement

(all nos. in ₹ Crores)

Consolidated

Q1FY23

Q1FY22

Change %

2,077

307

1,966

274

6 % Revenue from operations

12 % EBITDA

14.8 %

13.9 %

272

239

14 % EBIT

13.1 %

12.2 %

319

(11)

(75)

233

378

(74)

304

(16) % PBT before exceptional items

Exceptional items

Tax

(23) % PAT / GNP

11.2 %

15.5 %

Group Net Profit (incl. JVs & Associates)

3,327

460

13.8 %

387

11.6 %

403

(24)

(103)

277

8.3 %

277

3,008

403

13.4 %

336

11.2 %

340

(4)

(96)

241

8.0 %

200

11 %

14 %

15 %

19 %

15 %

38 %

Profit after tax on a standalone basis for the quarter declined by 23% YoY on account of the following : • • •

Lower other income (PY had higher dividend from subsidiaries) Higher investment behind brands Partly offset by revenue growth and Gross margin improvement

Group Consolidated Net Profits for the quarter grew 38% YoY on account of following : • •

Revenue growth in both Branded and Non-branded business Gross Margin improvement aided by tapering off of tea cost in India partly offset by input cost inflation in salt Improved performance of JV and Associates Partly offset by higher investment behind brands and new businesses and higher exceptional costs

• •

39 39

Segment-wise Performance Q1FY23

Particulars

₹ Cr

Segment Revenue

Segment Results

Q1 FY23 Q1 FY22 Change

(%)

India Business

2,145

1,972

273

247

11%

International Business

837

768

104

Revenue - Branded business

72% India Business 28% International Business

Total Branded Business

2,982

2,739

378

343

10%

Segment results – Branded business

Non Branded Business

352

278

27%

112%

Others / Unallocated items

(7)

(9)

(38)

(25)

Total

3,327

3,008

11%

379

336

13%

72 % India Business

28% International Business

4040

To conclude Macros  Broad-based inflation continues to be a challenge across markets– however, its impact would vary across product categories/consumers/regions.

 The impact of inflation and monetary tightening on the economies of our major markets is a key monitorable.

Business

 We continue to stay focused on driving growth and balancing margins, within the contours of the volatile macro environment.

 Given the volatility of the last 2 years, the growth rates have varied across periods, however the India Beverages business (including RTDs) has

delivered a 3-year CAGR of 14%, and the India Foods business a 3-year CAGR of 19% (as of Q1FY23)

 We have continued to see significant inflation in salt costs driven primarily by energy costs and have taken judicious pricing to partly offset that.

 Our “growth businesses” are on a strong trajectory and we will continue to drive them further.

 Our Out of Home businesses i.e. both NourishCo & Starbucks have delivered robust growth during the quarter and we expect continued

momentum.

 Tata Soulfull has seen strong momentum and we are driving portfolio expansion to create new vectors of growth.



In the international business, we have taken pricing actions to offset inflationary pressures while delivering competitive growth.

 Given the inflationary environment and investments required for some of the new businesses, we will continue to optimize margins at the

company level while remaining focused on growth.

4242

Awards & recognition

Most Valuable Brand TCP rated as India’s 4th most valuable Indian brand (F&B category) in the Brand Finance India 2022 Report.

Creating Value TCP recognized for Growth Performance (F&B category) at Dun & Bradstreet Corporate Awards 2022.

Communication Excellence TCP won the 2022 IABC Gold Quill Award of Merit for the corporate website – www.tataconsumer.com

ET Shark Awards Tata Coffee Grand won a Bronze at ET Shark Awards for Regional “Sounds of Pongal” campaign.

Shareholding information

Quarter Ended June’20

Stock data

BSE Ticker

NSE Ticker

500800

TATACONSUM

Market Capitalization (June 30, 2022)

₹ 651.8 bn

Number of Shares Outstanding

921.6 Mn.

Pattern as on 30th June, 2022

Others 5%

Individual 21%

MFs/ UTI/ AIFs 6%

Insurance Companies/ Banks 8%

Promoter and promoter Group 35%

Foreign Institutional Investors 25%

Thank You

For more information

Nidhi Verma Head – Investor Relations & Corporate Communication nidhi.verma@tataconsumer.com

Retail investor - Write to us at investor.relations@tataconsumer.com

Call us at +91-22-61218400

For media queries satya.muniasamy@tataconsumer.com

Last 10-year financials are available on Historical financial data

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