ITC Q1 Review – Regional Lockdowns Impact Cigarette Recovery; FMCG On Track: Systematix

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

ITC Ltd.’s Q1 FY22 performance was largely in-line with expectations with regional lockdowns impacting cigarette business recovery.

Cigarette volumes grew 32% y-o-y on a favourable base of a 40% y-o-y decline.

On a two-year basis, cigarette volumes declined 11% in Q1 FY22 versus a 1.4% decline in Q4 FY21.

ITC’s cigarette Ebit declined by 12.2% q-o-q and 8.5% on a two-year compound annual growth rate basis.

Despite the regional lockdowns, fast moving consumer goods revenues (including Sunrise) remained resilient, with recovery in demand trends since June 2021, and grew by 10.4% y-o-y (on a base of up 10.3% y-o-y).

Travel restrictions in the second wave impacted the recovery in the hotels business, which declined by 55.8% q-o-q.

Click on the attachment to read the full report:

Systematix ITC Q1FY22 Result Update.pdf


This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Most Related Links :
editorpen Governmental News Finance News

Source link

Back to top button