New Delhi: Indian FMCG major ITC has reported a 247% YoY gain in the Q4 net profit to Rs. 19,562 as the company earned Rs.15,485 crore from the demerger of its hotel business. Excluding this, the adjusted profit after tax rose 3% YoY to Rs.5,155 crore, aligning with analyst’s expectations. Operational revenues rose to Rs.18,484 a 1.1% rise from Rs.18,290 crore a year ago, while the company’s EBITDA rose 3% YoY to Rs.6,080 crore.
The company has announced a dividend of Rs.7.85 per share. After the interim dividend of Rs.6.50 per share paid on 7th March, the company has announced a total dividend of Rs.14.35 per share.
The company reported a 4% rise in revenue from its FMCG business, driven by consistent demand in its personal care, atta, spices, snacks, dairy and other categories. Its cigarette revenues rose 6% YoY, as stable taxation, distribution expansion and interventions to counter illicit trade boosted sales.
The company’s agribusiness saw a 26% YoY rise in profit at Rs.255 crore while its paperboard and packaging segment saw a 31% decline in profit on account of slower domestic demand and increased competition from lower-priced Chinese and Indonesian suppliers.
Analysts have maintained their ‘BUY’ ratings for ITC, primarily for the stable performance in its core business-cigarettes even as the company’s FMCG brands see industry-leading growth.
ITC’s main competitors, Nestle India and HUL, had earlier reported weaker Q4 results due to lower demand and a sharper rise in input costs like palm oil and coffee, squeezing margins.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers should conduct their own research or consult with a qualified financial advisor before making any investment decisions.
