ITC Q4 net up 9.8% at Rs 2933 cr

  • ITC Q4 net up 9.8% at Rs 2933 cr

ITC Q4 net up 9.8% at Rs 2933 cr

The Kolkata-based company ITC Ltd is hopefully looking to register year-on-year (YoY) increase of 6.36 percent in its annual net profit to Rs 2,839 crore, as reported by a poll of analysts at Reuters. The board approved payment of a dividend of Rs. 5.15 per share.

Post-tax profit for the quarter stood at Rs. 2,932.7 crore.

Analysts on average expected a net profit of Rs 2,845 crore, according to Thomson Reuters data.

Meanwhile, in a separate filing, ITC said its board of directors at a meeting held today re-designated its CEO and Wholetime Director Sanjiv Puri as Managing Director, with effect from today.

"In view of the aforesaid restructuring of indirect taxes, total income from operations for the quarter and 12 months ended 31st March, 2018 are not comparable with the previous periods", ITC said.

During the quarter, revenue from cigarettes was at Rs 4,936.45 crore.

While the cigarettes business came under pressure on escalation of tax incidence under the GST regime, the growth in gross sales value of the FMCG segment other than cigarettes was 11.3 per cent, driven by branded packaged foods, personal care, education and stationery products business.

ITC's non-cigarette FMCG business recorded a near doubling of profit in the fourth quarter. He, however, commended the margins.

On its revenue from hotels business, the company said the growth in segment revenue during the year was subdued at 5.6 per cent reflecting inter alia the overhang of excess room inventory and the impact of highway liquor ban. Revenue was driven mainly by improved average room revenues and "robust" F&B sales. "Agri business growth was impacted on account of a high base (imported wheat trading), limited trading opportunities in agri commodities such as wheat, soya, coffee and lower leaf exports during the quarter", the company said in a statement.

Paper business did marginally better with profits going up from Rs 240.17 crore to Rs 242.42 crore as input costs remain benign, higher substitution of imported pulp with in-house production and continued focus on product mix.

ITC shares closed at Rs 285.95 on the BSE, up 1.47 per cent over the previous close.