3rd Quarter Results

Tata Global Beverages Limited

Registered Office: 1 Bishop Lefroy Road, Kolkata - 700020

CIN - L15491WB1962PLC031425, Email : [email protected], Website : www.tataglobalbeverages.com

Unaudited Financial Results for the quarter and nine months ended December 31, 2016

Rs. In Crores

Notes:

1. The Company has adopted, Indian Accounting Standards (Ind AS) from 1st April 2016 and accordingly these financial results have been prepared in accordance with the recognition and measurement principles laid down in the Ind AS 34 - Interim Financial Reporting prescribed under section 133 of the Companies Act, 2013 read with relevant rules thereunder and the other accounting principles generally accepted in India. Financial results of all the periods presented have been prepared in accordance with the recognition and measurement principles of Ind AS 34.

2. The Board of Directors of the Company at its meeting held on 16th January 2017 have accorded an in principle approval for divesting its stake in its Joint Venture, Zhejiang Tata Tea Extractions Company Limited subject to necessary approvals. The transaction will also be subject to completion of negotiations, definitive agreements and satisfaction of conditions precedent.

3. For the quarter, Income from operations at Rs. 786 crores increased over corresponding quarter of previous year reflecting improved performance in the branded tea operations. Profit after tax at Rs. 72 crores is higher than corresponding quarter of previous year despite higher spends on advertisement and sales charges mainly on account of higher dividend income and lower finance costs.

4. (a). Reconciliation between standalone financial results, as previously reported referred to as previous GAAP and Ind AS are as under:

Note i - Expenditure required to be offset from sales on account of measurement criteria for Revenue.

Note ii - Recognition of finance cost under effective interest rate method for redemption premium on debentures, which was adjusted to reserves under previous GAAP.

Note iii - Others mainly include agriculture al produce required to be fair valued, impact of actuarial gain/ losses and impact of fair value measurement of financial instruments.

(b) Other comprehensive income comprises of income / (expenditure):

5. With effect from 1st April 2016, the Company has organized its business into Branded Segment and Non Branded Segment. Branded Segment is further categorized as Branded Tea, Branded Coffee and the residual as Branded Others. As per the threshold limits prescribed under Indian Accounting Standard (Ind AS-108 ) on " Segment Reporting" prescribed under section 133 of the Companies Act, 2013 read with relevant rules there under, the Company's reportable activity falls within a single business segment and hence the segment disclosure requirements are not applicable.

6. Previous period's figures have been regrouped / rearranged, to the extent necessary, to conform to current period's classifications.

7. The afore mentioned results were reviewed by the Audit Committee of the Board on January 31, 2017 and subsequently taken on record by the Board of Directors at its Meeting held on February 1, 2017. The statutory auditors of the company have conducted limited review on these results.

Harish Bhat

Mumbai, February 1, 2017 (Chairman)

Tata Global Beverages Limited

Registered Office: 1 Bishop Lefroy Road, Kolkata - 700020

CIN - L15491WB1962PLC031425, Email : [email protected], Website : www.tataglobalbeverages.com

Unaudited Consolidated Financial Results

for the quarter and nine months ended December 31, 2016

 Rs. In Crores

Notes:

1. The Company has adopted Indian Accounting Standards (Ind AS) from 1st April 2016 and accordingly these financial results have been prepared in accordance with the recognition and measurement principles laid down in the Ind AS 34 - Interim Financials Reporting prescribed under section 133 of the Companies Act, 2013 read with relevant rules thereunder and the other accounting principles generally accepted in India. Financial results of all the periods presented have been prepared in accordance with the recognition and measurement principles of Ind AS 34.

2. For the quarter, Income from operations at Rs 1744 crores increased by 3% as compared to corresponding quarter of the previous year. At previous year exchange rate the increase is 5%. Profit before exceptional items at Rs 146 crores is higher by 24% as compared to the corresponding quarter of the previous year despite higher advertising spends on base business and new launches, due to improved operating performance and lower finance costs. Group Consolidated net profit for the quarter at Rs 145 crores is higher by 119% as compared to the corresponding quarter of the previous year reflecting improved operating performance and impact of exceptional items.

3. Exceptional item for the current quarter represent a gain, based on fair valuation, of Rs 50 crores, determined as per Ind AS 103 - Business Combinations, arising out of the conversion of an overseas joint venture to a subsidiary pursuant to amendments in the operating agreement. Exceptional items for the corresponding quarter of the previous year represents cost relating to business restructuring of Rs 6 crores and expenditure on account of retrospective amendment of legislation relating to employee benefits of Rs 5 crores.

4. (a) Reconciliation between consolidated financial results for the quarter and year to date ended December'2015 , as previously reported referred to as previous GAAP and Ind AS are as under:

Note i - Expenditure required to be offset from sales on account of measurement criteria for Revenue.

Note ii - Joint ventures are required to equity accounted instead of proportionate consolidation.

Note iii - Agricultural produce are required to be fair valued.

Note iv - Recognition of finance cost under effective interest rate method for redemption premium on debentures, which was adjusted to reserves under previous GAAP.

Note v - Others mainly include expenditure capitalised, depreciation & amortisation adjustments and impact on the results of Associates mainly on account of fair valuation of agricultural produce.

(b) Other comprehensive income comprises of income / (expenditure):

Cyrus P Mistry

5. The major part of the Holding Company's business arises from operations outside India and through its subsidiaries. In view of this the Company has opted to publish only consolidated results for the year as permitted under SEBI guidelines. The Total Income from Operations, Profit before tax and Profit after tax of the Holding Company's standalone financial results are given below :

6. With effect from October 1, 2016, the Group has, pursuant to amendments in a joint venture operating agreement, accounted Empirical Group LLC, in which the Group has a holding of 56%, as a subsidiary. Consequent to the above, the Total Income from Operations and Profit from Operations is higher by Rs 64 crores and Rs 7 crores respectively for the quarter and year to date ending December'2016, with related reduction in Share of Profits from Joint Ventures.

7. The Board of Directors of the Holding Company at its meeting held on January,16 2017 have accorded an in principle approval for divesting its stake in its Joint Venture, Zhejiang Tata Tea Extractions Company Limited subject to necessary approvals. The transaction will also be subject to completion of negotiations, definitive agreements and satisfaction of conditions precedent.

8. The Board of Directors of Tata Coffee Limited, Indian subsidiary of the Holding Company, in its meeting dated December 19, 2016 has approved the setting up of a state of the art greenfield freeze dried instant coffee facility in Vietnam of 5000MT capacity per annum. This would be done through a subsidiary of the company to be incorporated. The project is subject to the completion of all legal and other formalities. Estimated project cost is USD 50 Million (Approximately Rs. 350 crores).

9. The aforementioned results were reviewed by the Audit Committee of the Board on January 31, 2017 and subsequently taken on record by the Board of Directors at its Meeting held on February 01, 2017. The Statutory Auditors of the company have conducted limited review of these results. 

10. Previous period's figures have been regrouped / rearranged, to the extent necessary, to conform to current period's classifications.

11. The Consolidated and Standalone result for the quarter ended December 31, 2016 are available on the Bombay Stock Exchange website (URL: www.bseindia.com ), the National Stock Exchange website (URL: www.nseindia.com) and on the Company's website (URL: www.tataglobalbeverages.com ).

Harish Bhat

Mumbai: February 01, 2017 (Chairman)

Tata Global Beverages Limited

Registered Office: 1 Bishop Lefroy Road, Kolkata - 700020

CIN - L15491WB1962PLC031425, Email : [email protected], Website : www.tataglobalbeverages.com

Consolidated Segment wise Revenue, Results, Assets and Liabilities

 for the quarter and nine months ended December 31, 2016

 Rs. In Crores

Notes:

a. The group has organised business into Branded Segment and Non Branded Segment. Branded Segment is further sub-categorised as Branded Tea, Branded Coffee and the residual as Branded Others. Accordingly, the group has reported its segment results for these segments. This complies with Ind AS - 108 - Segment reporting principles, and is made effective from 1st April, 2015.

b. Business Segments: The internal business segmentation and the activities encompassed therein are as follows:

i. Branded Business -

Branded Tea : Sale of branded tea and various value added forms

Branded Coffee : Sale of coffee in various value added forms

Branded Others : Sale of water products

ii. Non Branded Business - Plantation and Extraction business for Tea, Coffee and other produce.

c. The segment wise revenue, results, assets and liabilities figures relate to the respective amounts directly identifiable to each of the segments. Unallocable items includes expenses incurred on common services at the corporate level, other income and exceptional items.

Harish Bhat

Mumbai: February 01, 2017 (Chairman)