ITC Q3 Results: Diversified conglomerate ITC Limited on Thursday reported its Q3FY26 earnings, posting modest revenue growth but a decline in net profit due to one-time expenses linked to new labour codes.
🔍 ITC Q3 Net Profit Declines on One-Time Costs
ITC reported a standalone net profit of ₹5,088.83 crore for the quarter ended December 31, 2025, marking a 6.1% year-on-year (YoY) decline from ₹5,421.36 crore in the corresponding quarter last year.
📉 The company said profitability was impacted by a one-time labour code-related cost of ₹273.83 crore.
📈 ITC Q3 Revenue & EBITDA Performance
Despite pressure on profits, ITC Q3 revenue from operations rose 5.8% YoY to ₹19,359.46 crore, compared with ₹18,290.24 crore in Q3FY25.
- EBITDA stood at ₹6,271 crore, up 7.6% YoY
- EBITDA in Q3FY25 was ₹5,828 crore
This reflects operational resilience across ITC’s diversified business segments.
💰 ITC Declares Interim Dividend of ₹6.5 Per Share
Alongside its Q3 results, ITC announced an interim dividend of ₹6.5 per share, rewarding shareholders amid a volatile market environment.
📅 Key dividend dates:
- Record date: February 4, 2026
- Dividend payout: February 26–28, 2026
Eligible shareholders whose names appear on the record date will receive the dividend.
🏭 ITC Q3 Segment-wise Performance
🚬 Cigarettes Business
The cigarettes segment, ITC’s largest contributor, reported revenue of ₹8,790.76 crore, up 8% YoY from ₹8,136.29 crore.
🛒 FMCG (Non-Cigarettes) Segment
Revenue from other FMCG products surged 11.1% YoY to ₹6,019.69 crore.
📌 Growth was driven by strong demand across:
- Staples
- Biscuits & noodles
- Dairy products
- Premium personal care
- Homecare & agarbattis
🌾 Agri Business
The agri segment recorded 6.2% YoY growth, with revenue at ₹3,560.27 crore, compared to ₹3,350.81 crore a year ago.
📦 Paperboards, Paper & Packaging
Revenue from this segment rose 2.7% YoY to ₹2,202.41 crore, reflecting steady industrial demand.
📉 ITC Share Price Movement
Ahead of the Q3 earnings announcement, ITC share price closed 0.7% lower at ₹318 on the NSE.
📌 Key stock highlights:
- Trading near its 52-week low of ₹317.85
- Shares down over 20% in January
- Decline follows the government’s announcement of higher excise duty on cigarettes, effective February 1, 2026
🔑 Key Takeaway
While ITC Q3 profit declined due to one-time costs, the company continues to show strong revenue growth across FMCG, cigarettes, and agri businesses, supported by a healthy interim dividend payout.
📢 Investors will now watch how the new excise duty impacts margins and volumes in the coming quarters.
