ITC Q3 net profit rises 6.5% to Rs 5,335 cr, dividend declared at Rs 6.25 per share

ITC Ltd on Monday reported 6.5% increase in consolidated net profit (attributable to owners) at Rs 5,335 crore for the quarter ended December 31, 2023 as against Rs 5,007 crore in the year-ago period, as the consumer goods giant benefited from higher demand for its products ranging from cigarettes to noodles..

The conglomerate also declared interim dividend of Rs 6.25 per share for FY24. The dividend will be paid between February 26 and February 28 and February 8 has been fixed as record date, said ITC in a stock exchange filing.

On Monday, ITC's scrip on BSE closed trading 1.2% lower at Rs 450.

Consolidated revenue from operations rose 2% to Rs 19,485 crore in Q3FY24 as compared to Rs 19,021 crore in Q3FY23.

Segment-wise, revenue from the cigarettes business increased 2.5%to Rs 8,295 crore as compared with Rs 8,086 crore in the year-ago period.

The FMCG-others business reported revenues of Rs 5,218 crore in Q3FY24, up 8% from Rs 4,849 crore posted in Q3FY23.

"Amidst a challenging macro-economic and operating environment as stated above, and high base effect in some of its operating segments, the Company delivered resilient performance during the quarter. With its focus on consumer centricity, purposeful innovation, agility, and execution excellence, the Company remains confident of navigating the short-term challenges and creating sustained value for all stakeholders," said ITC.

ITC's hotels business, which is set to demerge into a separate entity, reported an 18% jump in revenue in the quarter, on the back of a strong revival in domestic tourism and heightened demand from corporate bookings.

Meanwhile, its paperboards, paper and packaging business was hit by competition from cheaper Chinese brands, with international sales also slowing down due to sluggish economic conditions. The segment's revenue declined almost 10%.