ITC Share Price Jumps After Strong Q2 Results
Stable taxes and actions against illegal trade helped boost demand for cigarette sales for ITC.
The cigarette business did well, with a revenue rise of 7.3% and a 3% increase in sales.
On October 25, 2024, ITC’s share price went up by 3.64%, reaching ₹489.05.
This increase followed the company's strong financial results for the second quarter of the fiscal year 2025, where it made a profit of ₹5,054.4 crore, which is 1.8% more than last year.
ITC's revenue from operations increased by 16.7% to ₹20,735.9 crore, and its operating earnings went up by 4.8% to ₹6,761.8 crore. However, profit margins decreased to 32.6% from 36.3% last year.
The cigarette business did well, with a revenue rise of 7.3% and a 3% increase in sales.
Stable taxes and actions against illegal trade helped boost demand
The Hotels segment also grew, with a 12.1% increase in revenue, showing strong results over the past two years.
Analysts praised ITC's performance, especially in the cigarette market, where it is expected to regain market share from illegal sellers.
The Agri-Business segment saw a 47% revenue increase. The revenue was mostly generated from tobacco and agricultural products.
The company's Paperboards and Packaging segment faced some challenges but it still managed to register a slight revenue due to strong exports.
