Coca-Cola India pares ad spending to Rs 1,311 crore as profits surge in FY25

Coca-Cola India pared back its advertising and sales promotion (A&SP) spending in FY25, even as profits surged, according to a PTI report citing data from Tofler.

The beverage major reduced its advertising expenditure by Rs 13.75 crore to Rs 1,311.13 crore in FY25, from Rs 1,520.22 crore in the previous fiscal.

Despite the cut in ad spend, consolidated profit jumped 46.3% year-on-year to Rs 615.03 crore in FY25, while revenue from operations rose 7.5% to Rs 5,042.56 crore. The company’s total income increased 7.7% to Rs 5,171.48 crore during the year.

India is the fifth-largest market for the Atlanta-headquartered beverage maker. The Indian arm is an unlisted entity, fully owned by Hong Kong-based Coca-Cola South Asia (India) Holdings Ltd, a subsidiary of The Coca-Cola Company.

The maker of Thums Up, Limca, Sprite, Maaza and Minute Maid also reported a 9.65% increase in royalty payments to its US-based parent to Rs 556.52 crore in FY25, the PTI report said.

Separately, earlier this month, The Coca-Cola Company announced that Henrique Braun, currently chief operating officer, will take over as chief executive officer in March, succeeding James Quincey. Quincey, who has served as CEO for nine years, will transition to the role of executive chairman.