IRCTC FY20 results: Profit jumps 71% to Rs 528.57 crore, revenue up 20%

Indian Railway Catering and Tourism Corporation (IRCTC), the ticketing arm of Indian Railways, on Friday reported a sharp jump of 71.3 per cent in its net profit at Rs 528.57 crore for the full financial year ended March 31, 2020, helped by broad-based growth across all sectors.  The state-owned company had posted net profit of Rs 308.56 crore in the financial year 2018-19.

For the financial year 2020 (FY20), IRCTC posted total revenue of Rs 2,353.53 crore as against Rs 1,958.93 in the financial year 2018-19, registering a year-on-year growth of 20.14 per cent.

During the January-March quarter of FY20, IRCTC's profit surged 79.3 per cent to Rs 150.6 crore as against Rs 84 crore in the year-ago period. However, on sequential terms the company reported a 26.6 per cent drop in profit compared to Rs 206 crore in December quarter of FY20, dented by the coronavirus-led lockdown imposed by the government in the last week of March.

The company's revenue from operations rose 17.9 per cent to Rs 586.89 crore in Q4 FY20, from Rs 497.74 crore a year ago. Sequentially, revenues from operations fell 18 per cent from Rs 715.98 in Q3 FY20.

Also Read: IRCTC Q3 profit zooms 179% to Rs 206 crore, revenue up 62%

Total expenses of the company declined to Rs 398.26 crore in Q4 FY20 compared to Rs 442.04 crore in Q4 FY19 and Rs 464.56 crore in Q3 FY20.

This was the third earnings announcement by the IRCTC after its listing on Indian bourses on October 14, 2019.

Segment wise, revenue from catering business stood at Rs 236.28 crore versus Rs 269.20 crore in December 2019 (Q3 FY20). Revenue from internet ticketing was Rs 193.6 crore in Q4 FY20 versus Rs 226.90 crore in December 2019, falling by 15 per cent. While Rail Neer's revenue was Rs 51 crore, revenue from tourism and State Teertha stood at Rs 101.65 crore and Rs 4.23 crore, respectively.

Also Read: Coronavirus lockdown helps Railways create history; achieves 100% punctuality rate

IRCTC's board has also recommended a final dividend of Rs 2.50 per equity share of face value of Rs 10 each for the financial year 2019-2020 (25 per cent of the paid-up share capital of Rs 160 crore), subject to requisite approval.

"This final dividend is in addition to the interim dividend declared at Rs 10 per share of face value of Rs 10 each already paid in February, 2020," IRCTC said in the filing.

Based on the recommendations of the audit committee, the board of the company has appointed Ajit Kumar, Director (Finance) as Chief Financial Officer (CFO) and Key Managerial Personnel (KMP) of the company, effective from 10 July, 2020, it added.

Ahead of earnings announcement, shares of IRCTC ended Friday's trade at Rs 1401.15 apiece, up 1.14 per cent, against previous closing price of Rs 1385.40 on the BSE.