ITC Q1 results: Profit drops 16% YoY to ₹4,394 crore

ITC Q1 results: FMCG major ITC, on Friday, 31 July, reported a 16.2% year-on-year (YoY) drop in its consolidated profit to ₹ 4,394.13 crore for the April-June quarter of the current financial year (Q1FY27). In the corresponding quarter of the previous financial year, ITC's profit was ₹ 5,244.20 crore.

Sequentially, or on a quarter-on-quarter (QoQ) basis, ITC profit fell 18.4% from ₹ 5,387.97 crore in Q4FY26.

Revenue from operations for the quarter rose 27.6% YoY and 23.9% QoQ to ₹ 29,523.30 crore. ITC's revenue in Q1FY26 was ₹ 23,129.35 crore, and in Q4FY26, it was ₹ 23,821.48 crore.

Consolidated gross revenue jumped 27.8% YoY to ₹ 29,410 crore for the quarter. EBITDA at ₹ 5,181 crore declined 24% YoY.

On a standalone basis, the company's profit fell 27.1% YoY to ₹ 3,579 crore, revenue declined 14.4% YoY to ₹ 16,812 crore, EBITDA declined 27.9% YoY to ₹ 4,514 crore, and EBITDA margin shrank by 500 bps to 26.7%.

The segment's gross revenue surged 80.6% YoY to ₹ 15,383.55 crore, while net revenue declined 25%. Profit before tax dropped 35% YoY to ₹ 3,341.23 crore.

The company said "staggered and agile" pricing actions are underway to protect the consumer franchise, and it has implemented multiple interventions within a short span of time towards re-architecting and fortifying the portfolio. It added that strategy, execution and outcomes are tracking well in line with internal plans.

Segment's revenue climbed 12% YoY to ₹ 6,481.95 crore, while excluding staples, it rose 16%. PBT increased by 21% YoY to ₹ 478.61 crore.

Dairy, snacks, noodles, and frozen snacks clocked growth of over 20%, while personal care products witnessed mid-teens growth. Notebooks business registered a strong rebound, said the company.

Segment's revenue declined 16.6% YoY to ₹ 8082.06 crore, while PBT dropped 18.5% YoY to ₹ 353.79 crore, driven by the West Asia conflict, which led to trade disruptions as well as a high base.

Revenue rose 9% YoY to ₹ 2,307.24 crore, and PBT climbed 38% YoY to ₹ 224.22 crore. PBT margin expanded 200 bps YoY.

The company said it witnessed strong performance in anchor grades of value-added products, sustainable paperboards, packaging and exports.

A broad-based improvement in net realisations was seen as wood cost moderated YoY. The company reported robust growth in both flexible and carton packaging portfolios.

West Asia cost escalations were mitigated through agile cost management and judicious pricing actions, it said. Track all earnings-related news here

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