ITC sock rises on the back of sales and profit growth momentum

22 Aug 2022 , 01:22 PM

ITC, a diversified fast-moving consumer goods (FMCG) company, saw its stock achieve a new 47-month high on Monday, rising 1.5% on the BSE during substantial trading volume in an otherwise sluggish market.

Since September 3, 2018, the stock was trading at its highest level. On July 3, 2017, ITC reached a record high of Rs 353.

ITC outpaced the market over the past week, rising 3% compared to the benchmark Sensex’s drop of around 1%. Additionally, over the past month, it increased by 5% in accordance with the market.

In contrast to the S&P BSE Sensex’s 0.95 percent loss at 10:34 am, ITC was trading 1.3% higher at Rs316.25. The counter’s trading volumes on both exchanges, at 5.2 million shares, exceeded the average volumes seen over the previous two weeks on the BSE.

Better-than-expected sales growth momentum was recorded by ITC for the quarter that ended in June 2022 (Q1FY23). With growth across all segments, the company reported a 38% year-over-year (YoY) increase in its consolidated net profit, which totaled Rs 4,169 crore. With net sales of Rs18,164 crore, up 41% year over year (YoY), they well exceeded forecasts. Operating margins were constant at 30.8%. The corporation credited a “strong” performance across segments for the results.