5 August 2020 Tata Consumer Products (TCP) 1QFY21 results were robust (ahead of expectations), mainly led by improvement in standalone (S/A) performance. S/A EBITDA grew 40% YoY due to better realizations, favorable commodity costs and lower discretionary expenditure. Strong operating performance was witnessed across businesses (barring Tata Coffee S/A). Factoring in the better-than-expected performance and margin expansion in India Food and Beverage (F&B;) segment, we have increased our earnings estimates for FY21/FY22E by 30%/22% to arrive at an SOTP-based TP of INR560/share. Maintain Revenues were up 13% YoY to INR27.1b (v/s est. EBITDA grew 38% YoY to INR4.8b (v/s est. Note that base quarter performance includes India Food business numbers (erstwhile Tata Chemicals consumer business). EBITDA margin expanded 310bp YoY to 17.8% due to 180bp expansion in gross margin, lower ad spends and operating leverage.