ITC Q1 profit falls 16% as cigarette taxes and agri weakness outweigh FMCG growth
ITC’s Q1FY27 consolidated net profit declined 16.2% year-on-year to Rs 4,394 crore, while revenue fell 11.1%. FMCG revenue grew 12%, with staples-excluded growth of 16%, supported by dairy, snacks, noodles and personal care.
ITC’s Q1FY27 profit, revenue and Ebitda missed estimates amid cigarette tax hikes and weak agri performance. FMCG revenue rose 12%, supported by dairy, snacks, noodles and personal care, while the company used pricing, hedges and cost controls to offset imported inflation.
Why this matters
The result extends ITC's recent pattern: prior signals cited a 15.6% Q1 profit decline from cigarette taxes and agri slowdown, and a 27% profit drop as tax hikes squeezed margins.
Retail-company signals are accelerating, up 217467% QoQ.