ITC Falls Over 3% After Net Profit Drops 11% In December Quarter

ITC Share Price: Shares of ITC traded 3.29 per cent lower at Rs 219.00 on the BSE.

ITC Share Price: Shares of FMCG-to-hotel major ITC Limited slipped more than three per cent to Rs 219.00 on the BSE a day after it reported December quarter earnings of the current financial year. ITC reported an 11.4 percent year-on-year decline in consolidated profit at Rs 3,587.09 crore in the third quarter of the current fiscal year, due to slower revenue growth and weak hotel business amid the COVID-19 pandemic. The company’s net profit was Rs 4,050.4 crore in the year-ago period. (AlsoRead: ITC Net Profit Falls 11% To ₹ 3,587 Crore In December Quarter )

According to the company’s regulatory filing to BSE on Thursday, the consolidated revenue from operations grew by 6.1 percent year-on-year to Rs 14,124.48 crore in the October-December quarter of the current financial year, compared to Rs 13,307 crore in the year-ago period.

After the declaration of results, ITC’s board declared an interim dividend of ₹ 5 per share for the current financial year, which will be paid on March 10, 2021, to those members entitled. ITC’s total expenses was registered at ₹ 9,765.56 crore in the December quarter of the financial year, compared to ₹ 8,779.1 crore in the year-ago period.

Meanwhile, the revenue from cigarette business was at ₹ 6091.17 crore from ₹ 5,944.86 crore in the year-ago period, while the non-cigarette FMCG businesses registered revenue of ₹ 3,752.61 crore. ITC Limited posted Rs 9,843.78 crore in revenue from the total FMCG business.

Shares of ITC Limited traded 3.29 per cent lower at Rs 219.00 on the BSE. The shares of ITC Limited had opened the trading session at Rs 225.95, touching an intra day of Rs 225.95, and a low of Rs 217.00, so far.