ITC witnesses 295% jump in profit to Rs 19,807 crore in Q4FY25
ITC's cigarettes business clocked a revenue of Rs 9,228 crore in Quarter 4 FY25
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FMCG giant ITC Ltd clocked a 295% rise in its consolidated net profit in the 4th quarter (January-March) for the fiscal year 2025. The food-to-cigarettes conglomerate reported a profit of Rs 19,807 crore in Q4 FY25 compared to Rs 5,013 crore in the corresponding quarter in FY24.
In full fiscal 2025, the company's profit has climbed to Rs 35,052 crore from Rs 20,751 crore in FY24.
However, the revenue from operations remained flat at Rs 20,376 crore in the March quarter of FY25.
Of the total revenue, the company's cigarette business clocked Rs 9,228 crore in the quarter ended in March 2025. ITC's overall FMCG segment registered a revenue of Rs 14,731 crore in the same period.
Overall, in fiscal 2025, the cigarette revenue stood at Rs 35,893.57 crore.
The FMCG-other segment revenue increased by 4% year-on-year in Q4FY25, driven by growth in businesses related to atta, spices, frozen snacks, dairy, premium personal wash, homecare & agarbatti.
According to the Q4 filings, "The inflationary pressures were partially mitigated through focused cost management, portfolio premiumization, supply chain agility, digital interventions, and calibrated pricing actions".
ITC's flagship brand ‘Mangaldeep’ leveraged market opportunities and enhanced its market standing during the year, including Maha Kumbh, the company added.
The agri-business witnesses a revenue growth of 18% YoY led by tobacco, coffee, spices, etc.
However, ITC's paperboards, paper, and packaging segment was impacted in the fourth quarter due to low-priced Chinese & Indonesian supplies in global markets including India, soft domestic demand conditions, and unprecedented surge in wood prices.
"The cumulative impact of inflationary pressures on household savings, along with muted wage growth over the last few years, continued to weigh on consumption expenditure, particularly in urban markets. The weakness in consumption was reflected, inter alia, in the muted volume growth of the FMCG sector," the company added in a statement.
During fiscal 2025, ITC announced several acquisitions, such as, Sresta Natural Bioproducts (24 Mantra Organic Foods), Mother Sparsh Baby Care (Mother Sparsh) and Ample Foods (Prasuma & Meatigo). The company also entered into a Business Transfer Agreement to acquire the Pulp and Paper Undertaking of Aditya Birla Real Estate Limited (Century Pulp and Paper).
"These interventions are expected to augment the Company’s presence and market standing in high-growth and future-facing businesses," ITC mentioned
The FMCG major has anticipated a pick in consumption expenditure due to continued recovery in rural demand backed by a good monsoon, along with improvement in urban demand amidst lower inflation levels and tax cuts announced in the Union Budget, which is expected to boost disposable incomes.
