FMCG company ITC Ltd closed its first quarter with a 7.4 % increase in its net profit over that of a year ago on a 4.3 % rise in its gross operational revenue .
While revenue from operations stood at ₹13,800.4 crore at June 30, 2017, net profit stood at ₹2,560.5 crore. Cigarette revenues increased from ₹8,230.6 crore to ₹8,774.2 crore during the quarter under review. The turnover from its new FMCG business which the company is trying to grow increased by 9 % to ₹2600.9 crore amid muted demand environment and destocking of FMCG products ahead of GST roll-out, ITC said.
Hotels segment revenue rose by 6 % to ₹304.9 crore on improved room rates and growth in food and beverages. However ban on sale of liquor in hotels near highways caused revenue loss at properties like ITC Grand Chola, Chennai.
Revenues from papeprboards, paper and & packaging rose from ₹1,322.9 crore to ₹1,359.8 crore, but was impacted by FMCG and pharma sector destocking and subdued cigarette sales.
