ITC reports 21.5 per cent year increase in net profit

ITC reports 21.5 per cent year increase in net profitITC Ltd has reported an increase of 21.5 per in net profit to Rs 1,514.31 crore in the second quarter of the financial year banked by strong sales of products and decreased losses in the other FMCG business.

The net turnover was up 17.5 per cent at Rs 5,974 crore for the quarter against Rs 5,083 crore due to strong performance in cigarettes, branded packaged foods, education and stationery products and agricultural businesses.

The net sales in Ltd's hotel division increased one per cent at Rs 211.14 crore in the quarter year-on-year basis. The profit in the hotel segment rose nine per cent at Rs 43.44 crore. The company said that the non-cigarette FMCG segment grew 27 per cent during the quarter.

The non-cigarette profits for the company increased by 31 per cent to Rs 486 crore in the September quarter from Rs 372 crore.

“Several initiatives across the brand portfolio in terms of pack modernisation, improvement in smoke profile and introduction of new brands and variants have enabled the business to further strengthen its market standing,” said a company release.