ITC posted strong Q1 results on robust cigarette and rural food sales, though rising costs and competition weigh on margins.

• Cigarette volumes hit multi-quarter highs, but margins face pressure from high-cost leaf tobacco and stiff competition.
• Brokerages maintain 'Buy' ratings; Jefferies, Citi, and HSBC trim EPS estimates slightly due to lower margin outlook.
• Shares up 0.7%, leading FMCG index; non-cigarette segments remained muted during the first quarter.