ITC consolidated profit up 30% at Rs 3,343 crore in June quarter

Cigarettes-to-hotels major, ITC, reported a 30.24 per cent increase in consolidated profit in the June quarter on the back of a 36 per cent increase in revenue from operations compared to the year-ago period.

Consolidated profit for the quarter ended June stood at Rs 3,343.44 crore. It was at Rs 2,567.07 crore in the corresponding quarter of the previous year.

Consolidated revenue from operations stood at Rs 14,240.76 crore compared to Rs 10,478.46 crore reported in the same quarter last year. Sequentially, however, revenues were down 7.5 per cent and profits by 12.4 per cent.

The company said that there was a strong rebound across operating segments despite operational constraints in the wake of the second wave.

Segment wise, revenues from cigarettes stood at Rs 5,802.67 crore, up by 34 per cent from the year-ago period. In the previous quarter it was at Rs 6,508.43 crore.

Pre-tax profits from cigarettes was at Rs 3461.91 crore, an increase of 36.55 per cent in the same quarter of last year, but down by 11 per cent in the previous quarter.

The company said that strong sequential recovery momentum in cigarettes led to volumes reaching nearly pre-Covid levels in Q4FY21. However, the second wave caused disruptions in convenience store operations during the quarter.

But week-on-week improvement was underway since mid-June, the company mentioned, with most markets returning to normalcy and witnessing faster recovery compared to the first wave. Certain markets in Kerala, Odisha and North East remained partially impacted.

Revenues from the non-cigarettes FMCG segment was at Rs 3731.40 crore, higher by 10.43 per cent from the year-ago period at Rs 3378.84 crore. In the March quarter, it was at Rs 3694.80 crore.

Pre-tax profits from the segment was at Rs 174.28 crore, higher by 35 per cent over the same quarter last year at Rs 129.06 crore and lower from Rs 182.91 crore in the March quarter.

The progressive recovery in hotels witnessed in H2 FY21 was impacted by the second wave, the company said.

Revenues from the hotels segment was at Rs 133.67 crore in the June quarter, higher from the low of Rs 24.92 crore in the same quarter last year. It however, dropped sharply from Rs 302.35 crore in the March quarter.

Pre-tax loss was at Rs 159.61 crore in the June quarter compared to Rs 257.39 crore in the year-ago period. Losses in the March quarter had stood at Rs 40.26 crore.

Pre-tax profits from agri business and paperboards, paper and packaging were, however, up year-on-year and sequentially.

Pre-tax profits from the agri business segment was at Rs 195.04 crore compared to Rs 178.66 crore in the same quarter last year and Rs 185.11 crore in the previous quarter.

Pre-tax profits from paperboards, paper and packaging was at Rs 392.83 crore in the June quarter compared to Rs 160.11 crore in the year-ago period and Rs 323.25 crore in the previous quarter.