Net profit in January-March at Rs 4,340 crore was 6.2 per cent lower than Rs 4,625 crore net profit in the same period a year ago.
Revenue from operations jumped to Rs 164.7 crore compared to Rs 141.8 crore a year ago.
Considering above, ITC's net profit is seen at Rs 2,578.1 crore during Q4FY17, increasing by 8.37% yoy but will decline by 2.59% on qoq basis. Gross revenue for the quarter at Rs 15,410.92 crore was 6.2 per cent higher than a year ago.
The company said that it made "modest recovery in growth amidst overhang of liquidity squeeze and persistent weakness in the wholesale channel and rural markets".
Contribution from agri business was also up 6.18 per cent to Rs 1,918.49 crore, as against Rs 1,806.79 crore in the corresponding quarter.
The city-headquartered company said despite the extremely challenging operating environment, it retained its leadership position in the cigarette industry and improved its standing in key competitive markets across the country. However, this was partially offset by ongoing pipeline calibration in education and stationary product business along with lower consumer offtake and heavy discounting in apparel business.
State-owned Oil and Natural Gas Corp (ONGC) on Saturday (27 May) reported a 6.2 per cent drop in March quarter net profit after it cleared royalty dues to Gujarat and Assam and provisioned for employee pay revision. Edelweiss said, "FMCG business is expected to see 10% YoY on a base of 5.4% YoY". Revenue from cigarettes rose from ₹32,348 crores to ₹35,877.7 crore during the year.
It said the FMCG industry witnessed further deceleration in growth rate during the last financial year with demand conditions remaining subdued for the fourth successive year.
The board of ITC has recommended a dividend of Rs 4.75 per ordinary shares of face value Rs 1 each.
The ONGC stock closed on Friday at Rs 175.80 a share, up 0.95 per cent, or by Rs 1.65, over its previous close on the BSE.