New Delhi: ITC Ltd on Wednesday reported an increase of 10.09 per cent in its consolidated net profit to Rs 3,763.73 crore for the second quarter ended in September 2021 helped by a broad-based recovery across all operating segments after witnessing severe disruptions in the last quarter.
The company had posted a net profit of Rs 3,418.69 crore during the July-September quarter of the previous fiscal, ITC said in a regulatory filing.
Its revenue from operations was up 12.14 per cent to Rs 14,662.59 crore during the quarter under review, as against Rs 13,075.14 crore in the corresponding period of the previous fiscal.
"The quarter witnessed broad-based recovery in sales across markets and channels. Reduction in the intensity of the pandemic along with a pick-up in the pace of vaccination led to improvement in the demand environment and consumer sentiment during the quarter," said ITC in a post earning statement.
However, unprecedented inflation in key input costs coupled with significant disruptions in global supply chains and logistics weighed on the operating environment, it added.
Total expenses were at Rs 10,258.26 crore, up 11.93 per cent in Q2/FY 2021-22, as against Rs 9,164.68 core of the corresponding period.
In the July-September quarter, ITC's revenue from total FMCG business was Rs 10,263.67 crore, up 7.38 per cent, as against Rs 9,558.30 crore in the year-ago period.
The FMCG Businesses delivered resilient performance growing on a high base quarter which witnessed an exceptional surge in sales, said ITC.
The cigarettes business in Q2/FY2021-22 was up 10.52 per cent to Rs 6,219.84 crore as against Rs 5,627.67 crore in the year-ago period.
After significant disruptions in Q1, Cigarette volumes witnessed smart recovery with exit volumes at near pre-Covid levels, said ITC adding it has a faster recovery in volumes versus the first wave of the pandemic. Exit volumes in the segment are near pre-Covid levels, the company said.
FMCG Others - segment revenue stood at Rs 4,043.83 crore, up 2.88 per cent, as against Rs 3,930.63 crore in the corresponding period last fiscal, it added.
Snacks, Confectionery, Beverages performed well as Discretionary/'Out-of-Home' categories recorded strong growth while staples and convenience foods witnessed moderation on a high base of Q2 FY21 while well-above pre-Covid period.