ITC Q4 FY25 Results: Net Profit Soars to ₹19,807 Crore on Exceptional Gain; Dividend of ₹7.85 Declared

ITC Limited reported a spectacular rise in consolidated net profit for the fourth quarter of fiscal year 2024-25 (Q4 FY25), boosted primarily by a one-time exceptional gain. The company also announced a final dividend of ₹7.85 per equity share, rewarding shareholders after a resilient quarter marked by steady revenue growth despite a challenging demand environment.

ITC Q4 FY25: Revenue from Operations Shows 10% Growth, Surpassing Estimates,  Net Profit Jumps Nearly Fourfold

ITC’s total revenue from operations rose 10% year-on-year to ₹20,376 crore, marginally surpassing market expectations. Sequentially, revenue increased from ₹18,562 crore in Q3 FY25, driven by steady sales across ITC’s diverse portfolio, including cigarettes, FMCG, and agri-business.

For the quarter ended March 31, 2025, ITC posted a consolidated net profit of ₹19,807 crore, nearly four times the ₹5,190 crore recorded in Q4 FY24. This exceptional jump was driven largely by an exceptional gain of ₹15,179 crore from discontinued operations, specifically relating to the demerger of ITC’s hotels business. 

However, on an adjusted basis, excluding this exceptional gain, ITC’s net profit stood at ₹4,662 crore, reflecting a 10% decline compared to ₹5,190 crore a year ago, indicating underlying pressure in the core business.

Share Price Movement and Market Capitalisation

Following the results announcement, ITC shares advanced nearly 2%, hitting an intraday high of ₹434.4 per share  -  the largest gain since May 12, 2025. By mid-morning trade, shares were up 1.3% at ₹431.8, outperforming the broader Nifty 50 index, which was up 0.75%. Despite this rally, ITC’s stock has been largely range-bound since the start of the month and has fallen 5.5% year-to-date, compared to a 4.8% gain in the Nifty 50. ITC’s market capitalisation currently stands at approximately ₹5.4 trillion, maintaining its position as a heavyweight on the Indian stock exchanges.

Management’s Take: Resilience Amid Inflation and Muted Demand

ITC management described the quarter’s performance as “resilient” despite a subdued consumer demand environment and steep increases in input costs. The company highlighted that inflationary pressures have impacted household savings and restrained wage growth, resulting in muted consumption expenditure, especially in urban markets. 

This weakness in consumption was reflected in sluggish volume growth in the FMCG segment. However, management remains optimistic about a gradual recovery in consumption. The recovery is expected to be led by a revival in rural demand supported by a favorable monsoon forecast as well as improvement in urban demand aided by lower inflation and tax reductions announced in the recent Union Budget.

ITC Declares Final Dividend of ₹7.85 Per Share

ITC’s board has recommended a final dividend of ₹7.85 per ordinary share of ₹1 each for FY25, subject to shareholder approval at the 114th Annual General Meeting scheduled for July 25, 2025. With the interim dividend of ₹6.50 per share declared earlier in February 2025, the total dividend payout for the fiscal year amounts to ₹14.35 per share. The company has fixed May 28, 2025, as the record date for dividend entitlement. If approved, the final dividend payments will be disbursed between July 28 and July 31, 2025.

What’s Next for ITC?

As ITC navigates a challenging macroeconomic environment, its diversified business model spanning cigarettes, FMCG, packaged foods, and agribusiness continues to provide stable cash flows. The company’s focus on cost optimization, premiumisation of products, innovation-led growth, and strategic capital allocation is expected to support sustained long-term value creation for shareholders.

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