ITC sees marginal decline in net profit, revenue up 20%
2
Kolkata: ITC saw a marginal decline in net profit in the first quarter of FY26 to Rs 4,912 crore from Rs 4,917 crore in Q1FY25. Its revenue, however, saw a 20% jump from Rs 17,457 crore to Rs 20,911 crore.
According to the company, the marginal decline in net profit was due to the demerger of its hotel business. Profit figures for Q1FY25 included Rs 97.5 crore from the hotels business. The conglomerate's profit would have been Rs 4,820 crore. The rise in revenue was largely due to cigarette and agri businesses as well as acquisitions. Net revenue of the cigarettes segment was up 7.7% year-on-year, with segment profit before interest and tax (PBIT) was up 3.7% year-on-year.
"As seen in the past, stability in taxes on cigarettes, backed by deterrent actions by enforcement agencies, enabled volume recovery for the legal cigarette industry from illicit trade, leading to higher demand for Indian tobaccos and bolstering revenue to the exchequer from the tobacco sector," the company said. Revenue in the agri business segment revenue was up 39% year-on-year, driven by trading opportunities in bulk commodities and exports of leaf tobacco; segment PBIT was up 22% year-on-year.
by Taboola
by Taboola
Sponsored Links
Sponsored Links
Promoted Links
Promoted Links
You May Like
Is this legal? Access all TV channels without a subscription!
Techno Mag
Learn More
Undo
"The business continued to focus on scaling up the value-added agri portfolio (e.g., aqua, spices, coffee); 2.2x over the last four years."
You Can Also Check:
Kolkata AQI
|
Weather in Kolkata
|
Bank Holidays in Kolkata
|
Public Holidays in Kolkata
The company said continuing significant brand-building costs covering a range of personal care and branded packaged food products were reflected under 'other expenses' and impacted profits. FMCG businesses were up 8.6% year-on-year.
The notebooks industry continues to operate under deflationary conditions due to low-priced paper imports and saw opportunistic play by local/regional competition. The beverages category was impacted by unseasonal rains during the quarter. Staples, biscuits, dairy, premium personal wash, homecare and agarbattis drove growth.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mint
6 minutes ago
- Mint
Market volatility continues: Should investors reconsider continuing their mutual fund SIPs?
Mutual Funds: Stock markets in India have been under pressure for a few days now, and US President Donald Trump's announcement to impose a 50 percent tariff on Indian goods has not helped. Although markets ended positively on Thursday, they have been under pressure for the past few days. One may wonder whether investors should reconsider continuing their systematic investment plans (SIPs) for mutual funds? Meanwhile, financial experts do not recommend investors pause their SIPs – at least not on account of panic or scepticism. The reasons they share are as follows. I. Rupee cost averaging: By buying securities in a staggered way (every month, fortnight, or quarter), you get to average out the buying price. This improves your chances of earning gains. So, when you buy mutual fund units via SIPs, you can make the most of rupee cost averaging. This concept is similar to the dollar cost averaging espoused by Ben Graham. "SIP provides the benefit of Rupee Cost Averaging, which is an approach in which you invest a fixed amount of money at regular intervals. This, in turn, ensures that you buy more units of a particular mutual fund when prices are low and less when they are high," says Preeti Zende, founder of Apna Dhan Financial Services. II. Volatility is the part and parcel of the investing journey: Experts recommend that investors stay put regardless of volatility. After all, this is the part and parcel of life as an investor. 'It is very difficult for common investors to see their portfolio bleeding daily. This leads to shaking up their confidence in an equity asset class whereas other asset classes like gold and debt could be giving better returns. The new investors perhaps never saw such deep correction but pausing the SIPs is counter productive,' adds Ms Zende. III. Financial goals: Another pertinent reason for not pausing SIPs is that your investments are meant to meet financial goals. So, temporary bumps in the road do not hold any significance. 'Being committed to financial goals requires you to stay invested and maintain the financial discipline of continuing your SIP regardless of volatility,' says Deepak Aggarwal, a Delhi-based financial advisor. IV. Long-term is always good: As indicated above, the losses and negative returns stand to get recouped in the long run. Despite a steep correction, the Sensex had delivered a modest 8 percent return last calendar year in 2024. Since 2016, Sensex has been on a winning streak of positive annual returns, notes this Livemint article. 'If you are investing in equity mutual funds towards your long-term goals, correction is the best time to continue your SIPs to acquire more units. This helps you increase the value of your overall portfolio once the market recovers,' Ms Zende adds. Note: This story is for informational purposes only. Please speak to a SEBI-registered investment advisor before making any investment-related decision. For all personal finance updates, visit here
Hans India
9 minutes ago
- Hans India
Owaisi says fresh US tariffs on India will hurt Indian exporters, deter FDI, hit jobs hard
Hyderabad: AIMIM president Asaduddin Owaisi on Thursday said US President Donald Trump's decision to impose 50 per cent tariff on Indian goods will hurt Indian exporters, MSMEs, manufacturers and will disrupt supply chains, deter FDI, and hit jobs hard. A day after Trump imposed a penalty of another 25 per cent on India for buying Russian oil, Owaisi said Trump just slapped another 25 per cent tariff on India, taking it to 50 per cent, because 'we bought oil from Russia'. In a post on X, the Hyderabad MP said 'This isn't diplomacy, it's bullying by the buffoon-in-chief who clearly doesn't understand how global trade works". These tariffs will hurt Indian exporters, MSMEs, and manufacturers. It'll disrupt supply chains, deter FDI, and hit jobs hard. But why will Narendra Modi care? Where are those BJP muscle-flexers now?" the AIMIM chief asked. "Last time I'd asked if Modi ji would show his 56-inch chest when Trump imposed 56% tariffs. Trump stopped at 50%. Maybe he's scared of our non-biological PM? Was selling out our strategic autonomy worth filling your friends' billionaire coffers?" he further said. Trump on Wednesday slapped an additional 25 per cent tariff on goods coming from India as penalty for New Delhi's continued purchase of Russian oil, a move that is likely to hit sectors such as textiles, marine and leather exports hard. Trump signed an executive order - Addressing Threats to the US by the Government of the Russian Federation - imposing the additional tariff over and above the 25 per cent levy, which comes into effect from August 7. After this order, the total tariff on Indian goods, barring a small exemption list, will be 50 per cent.
Hans India
9 minutes ago
- Hans India
Sensex and Nifty Rebound After Sharp Fall on Hopes of India-US Trade Talks
On Thursday, the Indian stock market went down in the morning, with both the Sensex and the Nifty nosediving. Sensex fell by more than 700 points but later went up and closed at 80,623. Nifty also went down by over 200 points but ended above 24,500. Experts say the market improved because people are hopeful that India and the US will have trade talks soon.
