ITC

India’s largest cigarette maker posted a set of decent numbers for Q3FY13. It posted a 21% rise in net profit at Rs.2052 crore on a 21% rise in topline at Rs.7627 crore, driven  primarily by Branded Packaged Foods, Personal Care, Agri Business and  Cigarettes. Net sales from FMCG, which comprises packaged food and personal-care products rose 30% and that from agri rose 43%. Its flagship business remained cigarette, contributing Rs.3657 crore to the revenue, showing a growth of 13%. This performance is especially commendable in the backdrop of the higher taxation which in turn led to a 10-12% rise in cigarette prices in Q2 and Q3. On the other hand, ITC's hotel business continues to grapple with tough times and it reported a 11% rise in topline, profit fell 45%.

The company has lined up a capex of Rs.1000 crore, over the next 2-3 years. It has got possession of 39 acres of land at Panchla in Howrah district where it plans to build an integrated food and consumer goods facility. It has already got 18 acres at Uluberia in Howrah district where a similar integrated facility is likely to be operational in the next two years. FMCG will see a bigger push from the company though the Budget could see another round of hike in excise duties on cigarettes.