ITC net profit up 11.9 pc in Q2

Progressive Grocer (India) - - Market Update -

Ci­garette-to-fmcg ma­jor ITC Ltd has re­ported a 11.9 per­cent in­crease in its net profit at Rs. 2,954.67 crore in the quar­ter, which ended on Septem­ber 30 of the cur­rent fis­cal as com­pared to Rs. 2,639.84 crore in the year-ago pe­riod. Its rev­enue op­er­a­tions, dur­ing the quar­ter un­der re­view, was at Rs. 11,272.51 crore, up by about 15.5 per­cent from Rs. 9,763.92 crore in the cor­re­spond­ing pe­riod last year. Gross rev­enue from sale of products and ser­vices for the quar­ter stood at Rs. 11,094.89 crore, rep­re­sent­ing a growth of 14.7 per­cent driven mainly by FMCG oth­ers (other than ci­garette), agribusi­ness and ho­tels. Its rev­enue from the ci­garette busi­ness, dur­ing the Septem­ber quar­ter, stood at Rs 5,026.06 crore, up by 10.36 per­cent from Rs 4,554.21 crore in the same pe­riod last year.

Rev­enue from Fmcg-oth­ers, which in­clude branded pack­aged foods busi­nesses, ap­parel, ed­u­ca­tion and sta­tionery products, per­sonal care products, safety matches and agar­bat­tis, reg­is­tered ro­bust growth of 12.7 per­cent to Rs. 3,160.35 crore dur­ing the quar­ter as against Rs. 2,804.11 crore in the year-ago pe­riod. The com­pany re­ported that the seg­ment earn­ings be­fore in­ter­est, tax, de­pre­ci­a­tion and amor­ti­za­tion (ebitda) at Rs. 158.84 crore posted a growth of 77 per­cent on the back of en­hanced scale, prod­uct mix en­rich­ment and cost man­age­ment ini­tia­tives, de­spite sus­tained in­vest­ment in brand building, ges­ta­tion costs of new cat­e­gories and in­put cost pres­sures.

The FMCG ma­jor said its agri-busi­ness con­tin­ues to step up ini­tia­tives in the area of value added agri­cul­ture to cre­ate new vec­tors of growth by lever­ag­ing its agri­com­mod­ity sourc­ing and pro­cess­ing ex­per­tise and the strong dis­tri­bu­tion net­work of the com­pany. Dur­ing the quar­ter, ITC for­ayed into the frozen snacks cat­e­gory in the re­tail seg­ment and the prod­uct range is cur­rently avail­able in Ben­galuru, Chandi­garh and Lud­hi­ana. “Plans are afoot to rapidly scale up pres­ence in the en­su­ing months,” the com­pany said in a statement.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.