ITC Q1 profit rises 28.6% to Rs 3,013.5 crore, revenue jumps 36.4% to Rs 12,959 crore
Cigarette-FMCG-to-hotel major ITCon July 24 has reported a 28.6 percent year-on-year growth in standalone profit at Rs 3,013.5 crore in the quarter ended June 2021, partly driven by low base in the year-ago quarter. The Q1FY21 quarter was impacted by first wave of Covid-19.
Profit was at Rs 2,342.76 crore in corresponding period previous fiscal.
Revenue from operations in Q1FY22 increased 36.4 percent year-on-year to Rs 12,959.15 crore, and revenue (excluding excise duty) jumped 37.1 percent YoY to Rs 12,217.13 crore during the quarter. The topline was led by cigarettes, FMCG and paper segments.
Segmentwise Update
ITC said cigarette business registered a 32.9 percent year-on-year growth at Rs 5,122.19 crore and its earnings before interest & tax (EBIT) jumped 36.7 percent to Rs 3,220.94 crore in Q1FY22.
FMCG-Others segment's revenue grew by 10.4 percent to Rs 3,725.55 crore and EBIT shot up 38.3 percent to Rs 173 crore in Q1FY22, compared to corresponding period last fiscal.
"In respect of FMCG-Others segment, EBITDA for the quarter ended June 2021 is Rs 298.73 crore, against Rs 257.34 crore in June quarter 2020," said ITC.
Hotels business reported a massive 463.5 percent year-on-year growth in revenue at Rs 127.24 crore as year-ago quarter impacted the business badly. ITC has narrowed its EBIT loss of hotels business to Rs 151.45 crore from Rs 242.58 crore in the same period.
After severe disruptions during the quarter, hotels business is rebounding with the easing of restrictions led by leisure destinations, staycations and weekend getaways. Structural cost management actions aid in mitigating impact," ITC reasoned.
Agri business segment revenue in Q1FY22 at Rs 4,091.27 crore grew by 9.2 percent and its EBIT at Rs 195.74 crore increased by 9.5 percent compared to corresponding period last fiscal.
Paperboards, paper and packaging segment registered a 54.2 percent year-on-year growth in revenue at Rs 1,582.65 crore and 145.3 percent increase in EBIT at Rs 392.83 crore in the quarter ended June 2021.
ITC said there was strong rebound across operating segments despite operational constraints in the wake of the second wave. Standalone earnings before interest, tax, depreciation and amortisation (EBITDA) shot up 50.8 percent to Rs 3,992.16 crore compared to year-ago quarter.
Other income during the quarter fell 52.2 percent to Rs 428.99 crore.