Q1 FY27 Earnings: ITC Profit Dips, Divi’s Labs Soars

Multiple prominent Indian companies showcased varied financial outcomes in their Q1 FY27 performance, with some facing headwinds while others posted substantial gains. ITC recorded a notable decline in consolidated profit after tax, primarily driven by elevated cigarette taxation and geopolitical impacts.

ITC’s consolidated profit after tax fell by 22.16% year-on-year to Rs 4,082.32 crore. Net sales also saw an 11.1% year-on-year decrease, attributed to record taxation on cigarettes and the West Asia conflict’s effect on agri-business exports. Despite these challenges, gross revenue for the quarter increased by 27.8% year-on-year.

Automotive Sector Performance

Maruti Suzuki India achieved a record quarterly sales volume in Q1 FY27, yet its standalone profit after tax decreased. The profit decline was influenced by higher commodity prices and adverse foreign exchange movements during the period.

• Maruti Suzuki India’s standalone profit after tax dropped by 10.8% year-on-year to Rs 3,352.10 crore.
• Net sales for the automotive giant rose by 36.4% year-on-year.

SML Mahindra demonstrated overall sales growth in July 2026, selling a total of 1,603 units. The company experienced a mixed segment performance across its vehicle categories.

• Overall sales growth for SML Mahindra stood at 12% in July 2026.
• Cargo vehicle sales declined by 7% year-on-year.
• Passenger vehicle sales, however, increased by 21% year-on-year.

Tata Motors’ commercial vehicle segment reported a strong increase in sales for July 2026, with both domestic and international businesses contributing significantly to the surge.

• Total commercial vehicle sales for Tata Motors increased by 37% year-on-year, reaching 39,641 units.
• Domestic CV sales grew by 28% year-on-year.
• International business more than doubled, surging by 128% year-on-year.

Pharmaceuticals and Agri-Machinery Highlights

Divi’s Laboratories posted a substantial rise in consolidated net profit for Q1 FY27, alongside significant revenue growth from operations.

• Consolidated net profit for Divi’s Laboratories surged by 65.50% year-on-year to Rs 902 crore.
• Revenue from operations grew by 27.80% year-on-year to Rs 3,080 crore.

Escorts Kubota also reported a solid increase in tractor sales for July 2026, driven by both domestic and export markets.

• Tractor sales for Escorts Kubota increased by 22.0% year-on-year.
• Domestic sales were up by 23.7%.
• Export sales saw a modest increase of 1.3%.