ITC Ltd reported a standalone profit after tax of ₹20,286.42 crore for FY 2025-26. The company's Board has recommended a final dividend of ₹8 per share, bringing the total dividend for the fiscal year to ₹14.50 per share.
ITC Ltd FY2025-26 Financial Results
ITC Ltd has announced its financial results for the fiscal year 2025-26, reporting a standalone Profit After Tax of ₹20,286.42 crore and a consolidated revenue of ₹89,913.33 crore. The company's Board has recommended a final dividend of ₹8.00 per share.
Reader Takeaway: Strong profit and dividend payout, but cigarette regulation and input costs remain challenges.
What just happened
ITC Limited reported its financial results for FY 2025-26. Standalone Profit After Tax stood at ₹20,286.42 crore, a marginal increase from ₹20,093.29 crore in the previous year. Standalone Revenue from Operations grew to ₹81,640.11 crore from ₹74,238.13 crore.
On a consolidated basis, Revenue from Operations was ₹89,913.33 crore, up from ₹81,612.78 crore. The consolidated Profit for the year was ₹21,018.15 crore.
The Board has recommended a final dividend of ₹8.00 per share. Combined with the interim dividend of ₹6.50 already paid, the total dividend payout for FY 2025-26 is ₹14.50 per share, amounting to ₹18,167.65 crore.
Why this matters
The results indicate a steady financial performance despite a challenging economic environment. The dividend payout of ₹14.50 per share is a significant return for shareholders. Growth in the FMCG-Others segment and ITC Infotech highlights diversification efforts, while the Paperboards business faced headwinds.
The backstory
ITC Limited is a diversified conglomerate with businesses spanning FMCG, Hotels, Paperboards and Packaging, Agri Business, and Information Technology. The company has been focusing on strengthening its non-cigarette businesses to de-risk its revenue streams and capture new growth opportunities.
What changes now
With the recommended dividend, shareholders can expect a substantial payout. The company's strategic focus on 'ITC Next' strategy, including acquisitions in the food sector and digital capabilities, will likely continue. Investors will be keen to see how the company navigates regulatory challenges and input cost pressures.
Risks to watch
- Cigarette Taxation: Punitive taxation and regulatory regimes continue to fuel illicit trade in the legal cigarette industry.
- Input Costs: Volatility in global supply chains and high wood costs impact the Paperboards and Packaging segments.
- Geopolitical Factors: Ongoing global conflicts may affect energy security, inflation, and logistics.
Peer comparison
While specific peer comparison is not detailed in the filing, ITC's diversified model allows it to perform differently from pure-play FMCG or industrial companies. Its consistent profitability in cigarettes and growing FMCG segment are key differentiators.
Context metrics (time-bound)
- FY 2025-26 Standalone PAT: ₹20,286.42 crore
- FY 2024-25 Standalone PAT: ₹20,093.29 crore
- Total Dividend FY 2025-26: ₹14.50 per share
- ITC Infotech Revenue Growth: Approx. 14%
- ITC Infotech EBITDA Margins: 18.5%
What to track next
Investors should monitor the performance of the FMCG-Others segment, the success of recent acquisitions, the operational turnaround in Paperboards and Packaging, and the impact of government policies on its cigarette business.