Brands
Tata Global Beverages ad and sales charges in FY-2014 up 13.2 per cent; PAT up 29 per cent
BENGALURU: Tata Global Beverages (TGBL) advertisement and sales charges (ASP) in FY-2014 was up 13.2 per cent to Rs 1402.26 crore (18.1 per cent of Total Operating Income or Tot Inc) from Rs 1238.96 crore (16.9 per cent of Tot Inc) in FY-2013.
However, the company’s Q4-2014 ASP at Rs 347.51 crore (18.2 per cent of Tot Inc) was 13.3 per cent lower than the Rs 400.71 crore (19.3 per cent of Tot Inc) in the immediate trailing quarter and 13.6 per cent more than the Rs 305.99 crore (16.5 per cent of Tot Inc) in the year ago quarter Q4-2013.
Note: 100,00,000 = 1 crore = 100 lakh = 10 million.
TGBL PAT in FY-2014 at Rs 480.51 crore (6.2 per cent of Tot Inc) was 28.9 per cent more than the Rs 372.75 crore (5.1 per cent of Tot Inc) in FY-2013. In Q4-2014, the company’s PAT at Rs 69.30 crore (3.6 per cent of Tot Inc) was 42 per cent less than the Rs 119.55 crore (5.7 per cent of Tot Inc) in Q3-2014 and 27.6 per cent less than the Rs 95.76 crore (5.2 per cent of Tot Inc) in Q4-2013.
Over the nine quarter period starting Q4-2012 until Q4-2014, TGBL’s ASP shows an upward linear trend, both in terms of rupee value as well as in terms of percentage of Tot Inc. A similar linear trend is observed in the five year period starting FY-2010 until FY-2014. Please refer to Fig. 1 below.
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The company’s Tot Inc in FY-2014 was 5.3 per cent more at Rs 7737.61 crore as compared to the Rs 7350.98 crore in FY-2013. In Q4-2014 TGBL’s Tot Inc at Rs 1909.93 crore was 8.2 per cent lower than the Rs 2080.74 crore in Q3-2014 and 3.3 per cent more than the Rs 1849.50 crore in Q4-2013. Figure 2 below indicates a linear upward trend acorss the above mentioned nine quarter period as well as the five year period.
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While the linear trend across the five years from FY-2010 till FY-2014 in Fig 3 below seems to indicate that PAT seems to have flattened at about 6.2 per cent of Tot Inc, the linear trend across the nine quarters indicates an upward trend.
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So of the points of note in an investors’ presentation for performance in FY-2014 and a TGBL press release are:
(1) The company claims a 15 per cent top line growth across the portfolio with volume and value increases.
(2) It says that TGBL has maintained market volume and value leadership at 20.1 per cent and 22.3 per cent respectively. Tata Tea Gold restaged with primary TV campaign – Tata Tea Gold Power of 49 campaign and IIFA integration.
(3) Iconic Power of 49 ‘Jaago Re’ campaign integrating brand messaging with social cause.
(4) Chakra Gold and Kanan Devan restage in Q4-2014.
(5) Tetley Green tea re-launched in January with an impactful campaign with Kareena Kapoor.
(6) Various consumer promotions were undertaken to drive sales growth. Competition has launched aggressive promotions.
The company’s press release says:
The ‘Power of 49’ campaign for Tata Tea Gold in India, which encouraged women to exercise the power of their franchise, saw strong momentum and consumer participation last quarter with a mix of elements spanning advertising, on ground activation and digital marketing. TGBL says the campaign touched over 10 crore women across India and sparked over 50 lakh interactions through its communication channels.
Tata Starbucks – a joint venture between Tata Global Beverages and Starbucks- now has 46 Starbucks stores across the cities of Mumbai, Delhi, Bangalore and Pune. The stores continue to see excellent consumer response. Tata Water Plus- India’s first nutrient water, now has a presence in the states of Tamil Nadu, Andhra Pradesh and Gujarat in PET bottle as well as pouch formats. Tata Gluco Plus launched a new flavor variant- Apple Cinnamon last quarter, which was been very well received in the market. With this launch, the brand now has five delicious flavours available.
TGBL managing director and CEO Ajoy Misra said, “In a challenging market environment, we continue to invest strongly behind our brands. We have made good progress on category expansion into coffee and the single serve business in Australia with the acquisition of the MAP brand. By leveraging key consumer trends like wellness, convenience and indulgence, Tata Global Beverages continues to create many magical beverage moments for consumers across the globe. Our strategic alliances with PepsiCo and Starbucks are making good progress and seeing steady growth.”
Brands
Havas reports solid Q1 2026 with 2.5 per cent organic net revenue growth
Advertising group maintains positive momentum and confirms full-year guidance.
MUMBAI: Havas has started 2026 on a strong note proving that even in uncertain times, its converged model continues to deliver. The global advertising and communications group reported net revenue of €638 million for the first quarter of 2026, representing organic growth of +2.5 per cent compared to the same period last year. This performance was driven particularly by a robust +7.4 per cent organic growth in the United States.
Total revenue for the quarter reached €667 million, with organic growth of +2.8 per cent. Recent acquisitions contributed a positive scope impact of +1.7 per cent, while foreign exchange movements had a negative impact of -5.8 per cent, mainly due to the US dollar and British pound.
Europe, which accounts for 50 per cent of net revenue, delivered +1.1 per cent organic growth, supported by a good performance in France. North America (36 per cent of net revenue) led the way with +7.4 per cent growth, thanks to strong contributions from both Havas Creative and Havas Media. APAC & Africa (8 per cent) saw a decline of -6.2 per cent, while Latin America (6 per cent) remained nearly stable at -0.6 per cent.
Havas chairman and CEO Yannick Bolloré said, “Havas has started 2026 on a solid footing, continuing its momentum and delivering organic growth in net revenue of +2.5 per cent. This performance, in line with our full-year 2026 guidance, was driven in particular by continued strength in the US.”
The group also continued its bolt-on acquisition strategy, acquiring majority stakes in four agencies during the quarter: Acento Public Affairs (Spain), Ctrl Digital (Sweden), Styleheads (Germany), and Eyesight (France).
Havas maintained its strong creative reputation, ranking as a top holding company in the WARC Creative 100 for the sixth consecutive year, with three agencies BETC, Havas Paris, and Havas India placing in the Top 50.
Looking ahead, Havas confirmed its 2026 guidance: organic net revenue growth between +2.0 per cent and +3.0 per cent, adjusted EBIT margin between 13.2 per cent and 13.5 per cent, and a dividend payout ratio of around 40 per cent. The group also reiterated its medium-term targets for 2028.
Despite ongoing macroeconomic and geopolitical uncertainty, Havas enters the rest of the year with solid fundamentals and confidence in its ability to deliver sustainable, profitable growth.
In a challenging environment, Havas is proving that its integrated, client-centric model remains resilient delivering steady growth while continuing to invest in creativity and innovation. The first quarter results suggest the group is well-positioned to navigate the year ahead with confidence.
