ITC reports 26% fall in Q1 net profit; revenue down 17% YoY

India's FMCG major ITC on July 24 reported a 26 percent year-on-year (YoY) fall in standalone net profit for the quarter ended June 30, 2020, at Rs 2,342.76 crore.

The company had reported a net profit of Rs 3,173.94 in the same quarter a year ago.

The number came better than the estimates of the market. A CNBC-TV18 poll had estimated the June quarter net profit at Rs 2,220 crore.

ITC’s revenue from operations dropped 17.4 percent YoY to Rs 9,501.75 crore in Q1FY21 from Rs 11,502.82 crore in the corresponding quarter a year ago. A CNBC-TV18 poll had estimated the June quarter revenue at Rs 8,650 crore.

Revenue from cigarettes stood at Rs 3,853.79 crore in Q1FY21, down 29 percent against Rs 5,433.40 crore reported in Q1FY20. Cigarettes EBIT fell 38.8 percent to Rs 2,356.4 crore against Rs 3,849.1 crore YoY.

Total revenue from the FMCG segment dropped to Rs 7,228.36 crore in Q1 from Rs 8,493.45 crore in the corresponding quarter of the previous financial year.

The company reported Q1 EBITDA at Rs 2,646.7 crore, down 42 percent YoY against Rs 4,565.9 crore in Q1FY20. EBITDA margin stood at 27.8 percent against 39.7 percent YoY.

CNBC-TV18 poll had estimated EBITDA to the tune of Rs 2,700 crore and EBITDA margin at 31.2 percent.