Brands
ITC profit rises eight per cent as revenue hits Rs 18,953 crore in Q3 FY25
MUMBAI: ITC has wrapped up the third quarter of FY25 on a strong note, delivering an eight per cent year-on-year (YoY) growth in gross revenue to Rs 18,953 crore, despite facing inflationary headwinds. The company’s diversified portfolio—spanning FMCG, agri-business, cigarettes, and paper—helped offset rising input costs in wheat, edible oil, and tobacco.
The cigarette segment, ITC’s profit engine, recorded an 8.1 per cent YoY rise in net revenue, with segment profit before interest and tax (PBIT) up 4.1 per cent, aided by strategic portfolio interventions and premium offerings. FMCG (excluding cigarettes) grew four per cent YoY, driven by atta, spices, frozen snacks, and personal care products. The agri-business segment surged 9.7 per cent, powered by leaf tobacco and value-added agri exports, lifting PBIT by a robust 21.6 per cent.
ITC’s paper and packaging business remained under pressure due to low-priced Chinese and Indonesian imports and rising domestic wood prices, though portfolio expansion and export growth provided some relief. Meanwhile, the recently demerged hotels business delivered its best-ever quarterly performance, with a 14.6 per cent YoY revenue jump to Rs 922 crore and a 43.4 per cent rise in PBT to Rs 302 crore, driven by weddings, retail, and F&B. The Hotels business was officially demerged into ITC Hotels Limited (ITCHL) with effect from 1st January 2025 and is now reported as ‘Discontinued Operations’ in line with Indian Accounting Standards.
EBITDA for the quarter rose 3 per cent YoY, with a 4.5 per cent increase excluding the paper segment. Profit before tax (PBT) before exceptional items stood at Rs 6,847 crore, while profit after tax (PAT) reached Rs 5,638 crore. Earnings per share (EPS) for the quarter stood at Rs 4.51.
The board has recommended an interim dividend of Rs 6.50 per share, reinforcing ITC’s strong shareholder returns. Looking ahead, the company remains optimistic, banking on premiumisation, strategic cost management, and sustained investments in emerging growth segments.
Brands
Wipro hires 7,500 freshers, withholds FY27 hiring outlook
Profit rises to Rs 3,522 crore, Rs 15,000 crore buyback announced.
MUMBAI- Hiring may be on, but visibility is off, Wipro is adding talent even as it pauses the crystal ball. The company hired 7,500 freshers in FY26 but stopped short of offering any hiring outlook for FY27, underscoring the uncertainty gripping the IT services sector as it pivots towards an AI-led operating model.
The disclosure came alongside its fourth-quarter earnings, where management flagged volatile demand conditions and refrained from committing to future workforce expansion. Chief human resources officer Saurabh Govil noted that over 3,000 of the total hires were onboarded in the March quarter alone, signalling continued intake despite a lack of clarity on deployment pipelines.
This divergence active hiring without forward guidance reflects a broader industry pattern where talent acquisition continues even as deal conversions remain uneven and client spending cycles stretch. Wipro expects its IT services revenue for the June quarter to range between a decline of 2 per cent and flat growth sequentially in constant currency terms, reinforcing near-term caution.
Chief executive officer Srini Pallia pointed to artificial intelligence as both a disruptor and an opportunity. He said evolving client priorities are pushing the company towards outcome-driven engagements, with Wipro increasingly focusing on a services-as-software model through its AI Native Business and Platforms unit. The shift marks a structural change from traditional headcount-led growth to AI-enabled delivery frameworks.
The company has already committed over $1 billion to its AI ecosystem, with investors closely watching how these investments translate into revenue. For now, the numbers present a mixed picture. Net profit rose sequentially to Rs 3,522 crore, while revenue grew 3 per cent to Rs 24,236 crore. However, core IT services performance remained under pressure, with full-year revenue declining 0.3 per cent in dollar terms and 1.6 per cent in constant currency.
Large deal bookings offered a counterpoint, rising 45.4 per cent year-on-year to $7.8 billion, highlighting a widening gap between deal wins and actual revenue realisation. On a quarterly basis, IT services revenue slipped 1.2 per cent sequentially, signalling continued softness in execution.
Margins, however, told a more optimistic story. Operating margins expanded to 17.3 per cent in the fourth quarter, up from 14.8 per cent in the previous quarter, reflecting improved cost discipline. That said, the company cautioned that upcoming wage hikes and the ramp-up of large deals could exert pressure going forward.
Attrition stood at 13.8 per cent in the March quarter, indicating stabilisation after periods of elevated churn. Alongside its earnings, Wipro also announced a Rs 15,000 crore share buyback, reinforcing its focus on shareholder returns, with a payout ratio of 88 per cent over the past three years.
Taken together, the numbers capture a company in transition investing in AI, maintaining hiring momentum, but navigating a demand environment where growth is uneven and visibility remains limited.
