Indian Railways catering services provider, IRCTC earned a net profit of ₹278.8 crore in the fourth quarter of FY23, rising by 30.4% from a profit of ₹214 crore witnessed in the same quarter a year ago. IRCTC posted double-digit growth across key parameters on a year-on-year basis and also recommended a dividend of 100% for its shareholders.
Revenue from operations jumped by 39.7% to ₹965 crore in Q4FY23, as against ₹691 crore in Q4 of the previous fiscal.
On segment-wise performance, revenue from catering business stood at ₹395.77 crore in Q4FY23, as against ₹266.19 crore in Q4FY22 — registering a growth of 48.67%. Revenue from Rail neer jumped by 34.35% to ₹73.36 crore in Q4FY23 versus ₹54.60 crore a year ago same quarter.
Meanwhile, internet ticketing revenue saw marginal upside to ₹295.12 crore in Q4FY23, as against ₹292.82 crore in Q4 of previous fiscal. State Teertha revenue was at ₹65.44 crore — registering over 2.5 times jump from ₹25.81 crore in Q4FY22.
In the December 2022 quarter, IRCTC’s net profit and revenue was at Rs
In terms of operating profit, IRCTC’s EBITDA came in a tRs 324.6 crore in Q4FY23, up by 16.5% YoY. EBITDA margins, however, contracted to 33.6% in Q4FY23 versus 40.3% in Q4FY22.
In a meeting held on Monday, IRCTC recommended a final dividend of ₹2 per share (100%) for the fiscal year FY23.
On the back of healthy profitability, IRCTC has declared a final dividend of ₹2 per share for its shareholders for FY23. The final dividend is subject to the approval of shareholders in the forthcoming annual general meeting.
On Monday, Vaishali Parekh, Vice President – Technical Research, Prabhudas Lilladher added IRCTC in its medium term pick.
Parekh before the Q4 results said, “the stock has bottomed out near 560 zone and given a decent pullback towards 630 levels where the stock has been in consolidation and currently has given a strong positive candle to indicate a breakout above the rectangular box anticipating for further upside move with improvement in the bias.”
She added, “With the RSI showing strength has again regained after a short correction to signal a buy and has much upside potential to carry on the momentum still further ahead. We suggest buying and accumulating the stock for an upside target of 727 while keeping the stop loss at 605.”
On BSE, IRCTC shares witnessed stellar buying and ended at ₹645.60 apiece up by 3.40%.