HCCBL’s total income for FY24 rose 10.77% to Rs 14,236.18 crore, while total expenses increased 10.48% to Rs 13,044.50 crore
New Delhi: Hindustan Coca-Cola Beverages Ltd (HCCBL), the bottling arm of Coca-Cola in India, reported a significant three-fold increase in net profit to Rs 2,808.31 crore for FY24, as per filings with the Registrar of Companies (RoC). This growth was accompanied by a 10.10% rise in revenue, reaching Rs 14,021.54 crore for the fiscal year ending March 2024, according to data from the business intelligence platform Tofler. In comparison, HCCBL’s net profit in FY23 was Rs 812.5 crore, with revenue at Rs 12,735.12 crore.
HCCBL’s total income for FY24 rose 10.77% to Rs 14,236.18 crore, while total expenses increased 10.48% to Rs 13,044.50 crore. The company, which operates 16 factories across India and manufactures over 60 products including Coca-Cola, Thums Up, Sprite, Minute Maid, Maaza, and Fanta, saw its profit before tax climb three-fold to Rs 3,718.38 crore. The tax expenses rose significantly to Rs 910.07 crore, compared to Rs 204.32 crore in FY23.
Meanwhile, Coca-Cola India Pvt Ltd, the entity managing brand operations, experienced a contrasting performance in FY24. Its net profit fell by 41.82% to Rs 420.29 crore, down from Rs 722.44 crore in FY23, while revenue increased by 4.24% to Rs 4,713.38 crore. Total income reached Rs 4,801.84 crore, and total expenses rose by 16.27% to Rs 4,210.11 crore. Advertising and sales promotion expenses surged by 35.47% to Rs 1,520.21 crore. Additionally, royalties paid to The Coca-Cola Company increased by 4.68% to Rs 507.51 crore.
HCCBL’s advertising and sales promotion expenses in FY24 jumped 69.21% to Rs 108.11 crore, and inventory losses rose by 25.4% to Rs 94.07 crore. The company also highlighted its shift towards an asset-light strategy, divesting certain business undertakings through Business Transfer Agreements (BTA) and Asset Transfer Agreements (ATA). This move aligns with Coca-Cola’s broader strategic focus, which includes franchising operations in key Indian territories like Rajasthan, Bihar, the northeast, and parts of West Bengal.
India, being Coca-Cola’s fifth-largest market, continues to showcase varied financial performances within its brand and bottling segments.
