ITC Sees 3% Rise in Q4 Net Profit, Revenue Nears 10% Growth
The final dividend recommendation is at 7.85 per share, which increases the annual dividend total, including that interim dividend up to the amount of 14.35 per share, up from 13.75 per share in FY24.
ITC Sees 3% Rise in Q4 Net Profit, Revenue Nears 10% Growth
ITC Ltd reported a net profit increase of 2.98 per cent at ₹5,155.27 crore from continuing operations for the March quarter while the company explained that subdued demand and rising input costs contributed to the modest growth. The company registered a Q4FY24 profit of ₹5,006.14 crore.
Operational earnings grew by an average of 9.78 percent, reaching Rs20,376.36 million in the Q4FY25 quarter, up from Rs18,561.59 crore in the same quarter in FY24. It is reported that ITC Limited has declared an end-of-year dividend amount of Rs7.85 per share. This yields an annual dividend payout including interim dividends that is Rs14.35 per share, compared with Rs13.75 for each share during the FY24.
ITC has recorded the 10.5 percent growth in revenues for the whole year, reaching Rs81,612.78 crore, compared to Rs73,891.43 million in FY24. ITC's profit from continuing operations decreased by 0.76 percent in FY25 to Rs20,036.47 millions in FY25 compared to Rs20,190.82 million in FY24 owing to lower profit before tax on non-tobacco items, FMCG and paperboards, paperboards, and packaging segments.
ITC separated its hospitality sector into ITC Hotels on January 1, 2025 and subsequently listed this new entity on stock exchanges. ITC recognized a one-time non-cash fair value gain of ₹15,128.81 crore from the demerger process. ITC reported a profit of ₹19,807.88 crore for Q4FY25 and ₹35,052.48 crore for FY25.
ITC explained that household savings faced pressure due to inflation while wage growth remained stagnant which resulted in reduced consumption expenditure specifically in urban areas.
The company expects an increase in consumption because the rural market will recover due to favorable monsoon conditions while urban demand will grow thanks to decreased inflation rates together with recent tax reductions and lower interest rates set by the RBI which will promote growth.
Muted volume growth in the FMCG sector demonstrated the weakness in consumption. ITC admitted facing elevated competitive pressure from regional and local competitors.
