Kolkata, Aug 8 (IANS) FMCG major Britannia Industries Ltd. is planning to set up three factories, one each in the North-East, Gujarat and Andhra Pradesh, in the next three years, a top company official said on Monday.
“We are looking at putting up a factory in the North-East. An export zone factory will be set up in Gujarat. We will also put up one in Andhra Pradesh,” said company’s Managing Director Varun Berry.
He said all three are expected to be commissioned in next three years.
He said that investments for each factory will be around Rs 100-150 crore and it takes 12-14 months to set up a factory.
He added that the greenfield factory at Bidadi, near Bengaluru and rusk manufacturing plant at Madurai have already been commissioned.
The biscuit-maker on Monday reported a 13 per cent rise in its consolidated net profit to Rs 219.13 crore in the quarter ended June 30, 2016, as compared to Rs 193.66 crore in the corresponding period in 2015.
Its consolidated revenue in the quarter under review grew 8 per cent to Rs 2,162 crore against Rs 1,998 crore in the year-ago period.
“We continue to outpace the market with our go-to-market strategy of creating a robust distribution network with unrelenting focus on rural and our weak states. The category growths remained subdued during the quarter,” Berry said.
The deteriorating geopolitical situation and currency fluctuations in certain geographies like Middle East and Africa have also impacted our growths, he said.
Berry said the biscuit-maker intended to drive consumer off-take and strengthen its momentum through re-staging of its brands and plugging product portfolio gaps going forward.
“Commodity prices have firmed up significantly over the last two quarters and we have initiated a combination of price increase and cost efficiency measures to address this,” he said.