ITC Reports 20% Drop in Q2 Profit Despite Revenue Growth
ITCs consolidated profit falls by 20% in Q2, while revenue sees a slight increase, driven by strong FMCG performance.
Mumbai, November 2 (Daily Kiran) : ITC, a major Indian conglomerate, announced its financial results for the second quarter of the fiscal year 2027 on November 2. The company’s consolidated profit decreased by 20.1% year-over-year, dropping to ₹4,137 crore from ₹5,176 crore during the same period last year.
In its exchange filing, ITC revealed that its consolidated revenue for the second quarter rose by 1.8% to ₹18,401 crore, compared to ₹18,081 crore in the previous fiscal year.
The decline in profit is primarily attributed to a decrease in margins, which fell to 28% in the second quarter of FY27, down from 34.6% during the same period last year. Nevertheless, the company’s standalone business showed growth in key segments, with FMCG operations leading the way.
In the second quarter, the FMCG segment contributed significantly to revenue, reaching ₹22,503.30 crore, a rise from ₹14,746.35 crore in the same quarter last year. The cigarette business generated ₹15,536.13 crore, while the non-cigarette FMCG portfolio brought in ₹6,967.17 crore.
Growth was also noted in the agri-business segment, which saw revenue increase from ₹3,976.24 crore last year to ₹4,451.69 crore this year. Additionally, the paperboard, paper, and packaging business reported income of ₹3,015.85 crore, up from ₹2,219.92 crore in the same quarter last year.
ITC’s shares closed at ₹266.40 on the National Stock Exchange (NSE) with a slight gain during the trading session. Over the past week, the stock has returned 2.26% and 4.10% over the month. However, since the beginning of the year, shares have fallen by 26.78%, and over the past year, they have decreased by 36.62%.
