By IANS,
New Delhi : Conglomerate ITC Thursday posted a 20 percent rise in net profit at Rs.1,602 crore for the quarter ended June 30, driven primarily by branded packaged foods and education and stationery business.
It had posted Rs.1,332.7 crore net profit during the like period of the previous financial year, the company said in a statement.
Total income stood at Rs.6,889.83 crore for the quarter under review against Rs.6,018 crore during the year-ago period.
Non-cigarette FMCG segment of the conglomerate registered a revenue growth of 23 percent and improved profitability. The hotels business, however, continues to be impacted by weak global and domestic economic environment, the company said.
The agri-business profits grew with improved realisations and enriched portfolio, it added.
Segment-wise, the branded packaged food business enhanced its market standing across categories and posted significant growth in revenues during the quarter. Sales of value-added and premium products grew at a faster pace based on an enriched portfolio mix.
“The business continues to invest in manufacturing and distribution infrastructure to support larger scale in view of the growing demand for its products and maximise the benefits of distributed manufacture for efficient servicing of proximal markets,” the company said.
The personal care products business made significant strides during the quarter with its carefully crafted portfolio of products under the ‘Essenza Di Wills’, ‘Fiama Di Wills’, ‘Vivel’ and ‘Superia’ brands.
The cigarette industry continued to be impacted by taxation and regulatory policy framework. Steep increases in excise duty and value added tax (VAT) on cigarettes during the quarter exacerbated the situation compared to lightly taxed or tax evaded tobacco products like bidi, khaini, chewing tobacco and gutka, the company said.
The hotels industry too was impacted by the weak global and domestic economic environment during the quarter.
At the Bombay Stock Exchange, shares of the company were 0.04 percent up at Rs.254.70.