ITCNSEITC Limited· CigarettesMediumNeutral
Announced Fri, 1 Aug · 17:36 IST

ITC Limited has informed the Exchange about General Updates

Mgmt Guided Margin PressureInvestor Communications View source PDF

ITC · price

Loading chart…

▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

ITC Limited posted Q1 FY26 (quarter ended June 30, 2025) standalone gross revenue of Rs. 20,911 crores, up 20% YoY, but PAT grew only 1.9% to Rs. 4,912 crores, signalling margin pressure. The Cigarettes segment revenue rose 7.6% to Rs. 8,520 crores with PBIT up 3.7%, though margins were weighed down by high-cost leaf tobacco inventory consumption. FMCG-Others revenue grew 5.2% YoY (8.6% ex-Notebooks) but segment EBITDA fell 16.5% to Rs. 397 crores due to elevated commodity prices, though margins improved 50 bps sequentially to 9.4%. Agri Business was a strong performer with 38.9% revenue growth and 21.9% PBIT growth, while the Paperboards segment saw PBIT plunge 37.8% to Rs. 163 crores on low-priced imports and high wood prices. Consolidated PAT rose 4.9% to Rs. 5,343 crores, and EPS stood at Rs. 3.93 versus Rs. 3.86 a year ago.

Likely market impact

Mixed quarter with robust topline growth but broad-based margin pressure, particularly in Cigarettes (high-cost leaf inventory), FMCG (commodity inflation), and Paperboards (cheap imports). The 50 bps sequential improvement in FMCG margins and moderation in leaf tobacco procurement prices offer some near-term comfort, while the Agri Business outperformance provides a cushion. Investors will track margin recovery trajectory and Cigarette volume sustainability.