Tata Coffee to set up a plant in Vietnam

Tata Coffee will be setting up a greenfield instant coffee facility in Vietnam at a cost of USD 50 million (about Rs 350 crore). The company’s board of directors have approved the setting up of a state-of-the-art greenfield freeze dried instant coffee facility in Vietnam of 5,000 tonnes per annum. This would be done through a subsidiary of the company to be incorporated.

On the financial front, Tata Coffee’s revenue has declined by 7.62 per cent to Rs 372 crore in Q2FY17 as compared to the same period in the previous financial year. However, the company’s operating profit has increased by 46.38 per cent to Rs 87.49 crore in Q2FY17 on a yearly basis. Its net profit also has increased by 61.89 per cent to Rs 44.65 crore in Q2FY17 as compared to the same period in the previous fiscal year.

The share price of Tata Coffee has increased by 2.11 per cent on bourses in early trades; and is trading at Rs 115.3 on  an intraday basis. The share price of the company has given returns of 5.93 per cent from last one month.