ITC Revenue Rises 17% in Q2 FY25, Shares Jump
- ITC Ltd. reported a net profit of Rs 5,078.3 crore for Q2 FY25, marking a 3% increase from the previous year.
- The company’s total revenue increased by 17%, driven by strong performance across its FMCG and agribusiness sectors, with the tobacco sector showing significant growth.
- The positive financial results propelled ITC's shares to a daily high, reflecting investor confidence in the company's growth prospects.
In India, ITC Ltd., a diversified conglomerate known for its presence in FMCG and hospitality, has released its financial results for the July-September quarter of fiscal 2024-25. The company reported a 3% rise in net profit, amounting to Rs 5,078.3 crore, compared to Rs 4,927 crore in the same quarter of the previous year. Operationally, ITC experienced a 17% growth in revenue, totaling Rs 9,327.8 crore, which sharpens its competitive edge within the FMCG sector. Notably, the tobacco segment, which remains a major contributor to its revenue, showed a significant 6.6% increase, reaching Rs 8,877.86 crore. The revenue from the total FMCG segment grew as well, with an increase of 6.1% to Rs 14,463.15 crore, mostly benefiting from the company's diversified portfolio. Moreover, the agribusiness sector showed impressive growth, posting a remarkable 46.57% increase to Rs 5,845.25 crore, driven mainly by enhanced offerings in value-added agriproducts and leaf tobacco. Meanwhile, the paperboards and packaging sector registered a modest 2.14% rise, generating Rs 2,114.18 crore. The strong financial performance resulted in a significant surge in ITC's stock price, reaching a daily peak of Rs 493.50 after starting at Rs 475.80. This reflects investor confidence amidst an upward trajectory in the company’s operational metrics. Overall, ITC’s results indicate a robust recovery and growth potential in its various business segments for the current fiscal year.