ITC stock falls 1.22 percent as profit pressure persists

Published on 10/07/2026 at 09:43 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

ITC stock traded at INR 263.45 on the NSE on October 7, 2026, while its June quarter profit fell 15.6 percent year over year. The Yoga Bar acquisition adds a growth angle.

ITC, INE154A01025, Illustration mit AI erstellt.

ITC Limited (ISIN INE154A01025) was trading at INR 263.45 on the NSE on October 7, 2026, down 1.22 percent at 1:12 p.m. IST. The move keeps the stock 3.46 percent above its 52-week low of INR 254.65, while the latest quarter shows why earnings quality remains central to the valuation.

June quarter shows profit pressure

In the quarter ended June 2026, consolidated revenue was INR 19,114 crore, down from INR 21,495 crore in June 2025, according to StockFin. The same comparison shows net profit at INR 4,509 crore, versus INR 5,343 crore a year earlier, a decline of 15.6 percent.

Operating profit was INR 5,181 crore and the operating margin was 27 percent in June 2026, compared with INR 6,816 crore and 32 percent in June 2025, respectively, based on the same quarterly figures. For investors, the margin and profit trend matter more than the headline revenue line because cigarette taxation has distorted reported sales comparisons.

Food expansion adds a counterweight

ITC completed the purchase of the remaining shares of Sproutlife Foods on September 28, 2026, taking ownership of the Yoga Bar maker to 100 percent, StockFin reported. The cash consideration was INR 645 crore, while Sproutlife generated turnover of INR 452 crore in fiscal year 2025-26.

The acquisition gives ITC a quantified growth platform beyond tobacco, but the contribution remains small beside the group scale. ITC's investor-relations page reports gross revenue of INR 80,867 crore and EBITDA of INR 25,208 crore for the year ended March 31, 2026, linking the food deal to a much larger diversified portfolio.

Stock remains close to yearly low

ITC's October 7 trading range was INR 263.30 to INR 267.15, with volume of 43,589,902 shares at the recorded time. The 52-week range of INR 254.65 to INR 426.40 places the stock substantially below its yearly high, while the market capitalization stood at INR 3.3 trillion on the same date.

ITC's core question is therefore operational: can food growth and pricing actions offset weaker cigarette profitability? The September acquisition supplies a strategic answer, but the June 2026 figures show that the earnings recovery still depends on margin stabilization.