ITC June quarter results dip 4 per cent
ITC Ltd reported 4 per cent drop in net profit at Rs 748.67 crore for the quarter ended June 30, 2008, from Rs 782.87 crore during the corresponding quarter of last year. The drop in net profit was attributed to the increase in excise duties on non-filter cigarettes in the Union Budget 2008, steep rise in commodity prices and store rentals.
However net turnover of ITC increased by 18 per cent to Rs 3,900 crore driven by a 29 per cent growth in non-cigarette businesses due to the continued scale up of new FMCG businesses, higher agri business revenues and a healthy performance by the hotels and paperboards and packaging businesses. The hotels business posted a 17 per cent increase in revenues to touch Rs 239 crore. This was supported by better occupancies and room rates and higher food and beverage sales.