CCL Products (India) Ltd
BSE:519600
CCL Products (India) Ltd
Nestled in the dynamic arena of the global coffee industry, CCL Products (India) Ltd. has carved a distinctive niche for itself as a leading manufacturer and exporter of instant coffee. Established in 1994, the company has transformed over the decades from a modest enterprise into a formidable entity in the coffee manufacturing sector. CCL's journey is one of relentless pursuit of quality and innovation, anchored by its state-of-the-art manufacturing facilities located in India, Vietnam, and Switzerland. These strategic locations not only enhance its manufacturing prowess but also provide a competitive advantage in global logistics and supply chain efficiencies. The company’s ability to cater to diverse consumer preferences through an expansive product range, from traditional blends to specialty and value-added variants, underscores its commitment to adaptability and customer satisfaction.
CCL Products generates revenue through its extensive private label partnerships and branded offerings. It supplies instant coffee to more than 90 countries, crafting unique blends to suit the tastes of varied markets. The company's business model is not restricted to the mere production of coffee; it weaves in an intricate tapestry of strategic partnerships with retailers and beverage companies, enabling it to stay attuned to the evolving dynamics of the global coffee market. By integrating cutting-edge technology and maintaining stringent quality controls, CCL ensures its products meet international standards, while also leveraging cost-effective production methods. This balance of innovation, efficiency, and responsiveness forms the cornerstone of CCL Products’ business strategy, allowing it to sustain profitability and foster long-term growth in an ever-competitive landscape.
Nestled in the dynamic arena of the global coffee industry, CCL Products (India) Ltd. has carved a distinctive niche for itself as a leading manufacturer and exporter of instant coffee. Established in 1994, the company has transformed over the decades from a modest enterprise into a formidable entity in the coffee manufacturing sector. CCL's journey is one of relentless pursuit of quality and innovation, anchored by its state-of-the-art manufacturing facilities located in India, Vietnam, and Switzerland. These strategic locations not only enhance its manufacturing prowess but also provide a competitive advantage in global logistics and supply chain efficiencies. The company’s ability to cater to diverse consumer preferences through an expansive product range, from traditional blends to specialty and value-added variants, underscores its commitment to adaptability and customer satisfaction.
CCL Products generates revenue through its extensive private label partnerships and branded offerings. It supplies instant coffee to more than 90 countries, crafting unique blends to suit the tastes of varied markets. The company's business model is not restricted to the mere production of coffee; it weaves in an intricate tapestry of strategic partnerships with retailers and beverage companies, enabling it to stay attuned to the evolving dynamics of the global coffee market. By integrating cutting-edge technology and maintaining stringent quality controls, CCL ensures its products meet international standards, while also leveraging cost-effective production methods. This balance of innovation, efficiency, and responsiveness forms the cornerstone of CCL Products’ business strategy, allowing it to sustain profitability and foster long-term growth in an ever-competitive landscape.
Strong Revenue Growth: Revenue grew 38% year-on-year in Q3, reaching INR 1,053 crores, driven by both volume and value growth.
Profitability: Net profit rose 59% YoY in Q3 to INR 100.26 crores; EBITDA and PBT also showed strong double-digit increases.
Volume Momentum: Q3 volume growth was around 20%, with the remainder of revenue growth coming from value/mix.
Debt Reduction: Gross debt decreased to INR 1,448 crores from INR 2,000 crores a year ago, ahead of prior guidance.
EBITDA Per Kg: EBITDA per kg improved to INR 135–140; management expects to maintain these levels even if coffee prices decline.
Guidance Raised: EBITDA growth guidance for FY '26 revised to 25%, up from 15-20% earlier, with management confident in sustaining strong yearly growth.
B2C/Branded Sales: Branded retail sales grew 40-50% YoY and are expected to reach INR 430–440 crores for the full year.
Working Capital Efficiency: Improved inventory management and reduced credit periods contributed to stronger free cash flow and lower debt.