ITC Board Meeting Scheduled for November 2, 2026, to Discuss Q2 Results
ITC is set to announce its Q2 financial results on November 2, 2026, amid expectations of a decline in net profit due to increased cigarette taxation.
ITC's board meeting for Q2 results is on November 2, 2026.
Expected net profit decline attributed to higher cigarette taxes.
ITC shares have seen a significant drop of over 25% year-to-date.
ITC Limited has scheduled a board meeting for November 2, 2026, to review its financial performance for the second quarter of the fiscal year. The meeting will focus on approving the unaudited standalone and consolidated financial results for the quarter ending September 30, 2026, as well as reviewing segment-wise revenues and the balance sheet.
The backdrop of this meeting is a challenging economic environment for ITC, particularly in its cigarette segment. According to a report by HDFC Securities, the company is anticipated to experience a year-on-year decline in net income. Although revenue is projected to rise by 7% to approximately ₹20,816 crore, EBITDA is expected to decrease by 24%, resulting in an adjusted profit after tax (PAT) of ₹3,846 crore, also down by 24%.
The decline in profitability is largely linked to the recent hike in excise duties on cigarettes, which have significantly impacted sales volumes and margins. Anuj Gupta, a market expert registered with SEBI, noted that the increased taxation, which came into effect in February 2026, has placed considerable pressure on ITC's profit margins. The brokerage estimates a drop in ITC's EBITDA margin to 24.5%, a decrease of about 990 basis points compared to the previous year.
The implications of these financial results extend beyond ITC, affecting the broader FMCG sector in India. The government's decision to impose excise duties ranging from ₹2,050 to ₹8,500 per thousand cigarettes, along with a 40% consumption tax, has been described as a negative surprise for the industry. ITC's stock price has reflected this uncertainty, closing at ₹263.50, marking a decline of over 35% in the past year and more than 25% year-to-date.
Looking ahead, analysts suggest that existing shareholders should maintain their positions while setting a stop-loss at ₹246, with a potential target of ₹275 in the near term. New investors are also encouraged to consider purchasing shares at current prices, provided they adhere to the same stop-loss strategy. As ITC prepares for its upcoming board meeting, the market will closely monitor the company's strategies to navigate these financial challenges.
