ITC gains after Q3 PAT rises 13% to Rs 4156 cr

4 Feb 2022 , 09:16 AM

EBITDA improved by 18.2% to Rs 5,102 crore in Q3 FY22 from Rs 4,315 crore in Q3 FY21.

Profit before tax in the third quarter stood at Rs 5,492.03 crore, up by 12.53% from Rs 4,880.43 crore reported in the same period last year.

Total FMCG segment revenue increased by 12% YoY to Rs 10335 crore during the period under review. In the FMCG segment, cigarettes revenue rose by 14% YoY to Rs 6244 crore while the revenue from other FMCG segment improved by 9% YoY to Rs 4091 crore during the quarter.

Hotel business revenue stood at Rs 473 crore (up 101% YoY), agri-business revenue was at Rs 4962 crore (down 100% YoY) and paperboards, paper & packaging revenues were at Rs 2046 crore (up 39% YoY) in the third quarter of FY22.

The board recommended an interim dividend of Rs 5.25 per share for the Financial Year ending 31st March 2022.

The company said that economic activity gathered further momentum during the quarter with the decline in Covid caseload intensity. Enhanced vaccination coverage coupled with uptick in business and consumer sentiments led to broad-based growth across markets and channels even as leading indicators reflected deceleration in the pace of rural demand recovery. However, unprecedented inflation in commodity prices, increase in energy costs and persistent global supply chain disruptions weighed on the macroeconomic environment.

The third wave of the pandemic has led to a surge in Covid cases in the country and temporarily halted the recovery momentum, particularly in the hotels business. While mobility restrictions and restricted hours of business have impacted categories with higher salience of out-of-home consumption, the impact is expected to be limited in view of the progressive reduction in Covid cases being recorded across various parts of the country.

Meanwhile, ITC Infotechs PAT rose 48.3% to Rs 454 crore on 21.3% increase in revenue to Rs 2181 crore in Q3 FY22 over Q3 FY21. EBITDA jumped 41.9% to Rs 599 crore during the period under review. EBITDA margin stood at 27.5% in Q3 FY22 as against 23.5% in Q3 FY21.

ITC has a diversified presence in FMCG, hotels, packaging, paperboards & specialty papers and agri-business.

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