Brands
Q2-2016: Britannia Industries ad and sales promo spends up 11.9 percent
BENGALURU: Britannia Industries Limited (Britannia) spent 11.9 percent more YoY towards Advertisement and Sales Promotion (ASP) in Q2-2016 (quarter ended September 30, 2015, current quarter) at Rs 184.68 crore (8.4 percent of TIO) as compared to Rs 143.48 crore (7.3 percent of TIO) and 15.1 percent more QoQ than Rs 160.52 crore (8 per cent of Net total Income from Operations or TIO). Please refer to Fig 1 below.
Note: 100,00,000 = 100 Lakhs = 10 million = 1 crore
Company speak
Britannia managing director Varun Berry said,“We have been able to make reasonable in-roads in our weak states in the Northern region and have strengthened our position which has helped us bolster the growth. While the prices of key commodities remained benign, we expect that our initiatives of offering more value to consumers along with re-stage of our key brands like Goodday and Milkbikkis with enhanced organoleptic delivery, would help drive consumer off-take and accelerate the growth for the company.”
TIO and Ad & Sales Promotion spends
In Q2-2015, Britannia’s TIO increased 11.9 percent YoY to Rs 2208.65 crore as compared to Rs 1974.51 crore and was 9.4 percent more QoQ as compared to Rs 2018.60 crore. TIO in the current quarter was the highest during the 14 quarter period starting Q1-2013 until the current quarter. The broken grey trend line indicates that the company’s TIO has a linear increasing trend during the period under consideration.
Also, during the period under consideration in this report, Britannia’s ASP in Q4-2015 was the highest, both in terms of absolute rupees as well as in terms of percentage of TIO at Rs 202.89 crore and 9.8 percent of TIO. The lowest ASP in absolute rupees was in Q1-2013 at Rs 112.96 crore (8.3 percent of TIO), while in terms of percentage of TIO, it was 7.3 percent (Rs 143.48 crore) in Q2-2015. The maroon broken line shows a slight decline in ASP in terms of percentage of TIO, while the blue broken trend line indicates a linear increasing trend for ASP in absolute rupees.
The broken blue trend line in Fig 1 below indicates that ASP in terms of absolute rupees is increasing, while the broken maroon trend line indicates that it is declining in terms of percentage of TIO)
Please refer to Fig 2 below. In Q2-2016, Britannia reported PAT of Rs 218.63 crore (9.9 percent margin) which was 19.2 percent lower YoY as compared to Rs 270.46 crore (13.7 percent margin), but was 15.3 percent higher QoQ as compared to Rs 189.66 crore (9.4 percent margin).
During the period under consideration in this report, the company’s PAT shows a linear increasing trend both in absolute rupees as was well as in terms of percentage of TIO.
During the fourteen quarter period under consideration, the company’s ,PAT in Q2-2015 was the highest recorded by the company, both in terms of absolute rupees as well as in terms of PAT as percentage of TIO at Rs 270.46 crore and 13.7 percent of TIO respectively.The lowest PAT reported by the company in absolute rupees as well as in terms of percentage of TIO was in Q1-2013 at Rs 46.48 crore and 3.4 percent of TIO respectively during the same period.
Brands
Ather Energy doubles service network to 500 centres nationwide
EV maker scales support alongside growth to keep riders on the road
MUMBAI: Ather Energy is quietly building more than just scooters. It is building the backbone to keep them running.
The electric two-wheeler maker has expanded its service network to 500 authorised centres across India, nearly doubling its footprint in a year from 277. The move mirrors its growing retail presence and signals a clear focus on one often overlooked part of EV ownership, what happens after the purchase.
From the outset, Ather has prioritised service support in every city it enters, aiming to make ownership as smooth as the ride itself. Its Gold Service Centres bring in upgraded customer lounges, modern equipment and processes designed to make servicing more transparent and reliable.
Speed, too, is part of the pitch. Through its ExpressCare initiative, riders can get periodic maintenance done in about an hour, now available across 82 centres, turning what used to be a chore into a quick pit stop.
Ather Energy chief business officer Ravneet Singh Phokela said, “Crossing 500 service centres is an important milestone as we scale across the country. Reliable after-sales support is central to the ownership experience, and our focus remains on consistent service quality and accessibility.”
The expansion comes as demand grows for models like the Ather 450 and the Rizta, which have helped the company reach a broader set of riders across metros and emerging cities alike.
Alongside servicing, Ather continues to power up infrastructure through the Ather Grid, now one of the largest fast-charging networks for two-wheelers, with over 4,300 charging points.
With plans to scale further and deepen its presence, Ather’s approach is clear. Selling the scooter may start the journey, but keeping it running smoothly is what sustains it.
