IRCTC Q4 results: Net profit up 106%, final dividend announced
Indian Railway Catering and Tourism Corporation (IRCTC) has reported a 105.99% increase in net profit for the quarter ending March 31, 2022. The figure stands at Rs. 213.78 crore, compared to Rs. 103.78 crore in the same quarter last year. The company's revenue from operations has gone up from Rs. 338.78 crore to Rs. 690.96 crore - a year-on-year (YoY) growth of 103.95%.
Why does this story matter?
Nationwide lockdowns due to the ongoing COVID-19 pandemic severely hampered IRCTC's operations in 2020 and 2021. The revenues fell drastically. Now, with the lifting of restrictions, business is slowly getting back on track and the company is posting spectacular profits. Shareholders are also expected to receive hefty dividends. One can only hope that business grows back to pre-pandemic levels soon.
Revenue from catering went up by almost 4 times
The company claims that its revenue from Rail Neer jumped from Rs. 27.8 crore to Rs. 51.88 crore, while that from catering went up from Rs. 67.38 crore to Rs. 266.19 crore. Booking of e-tickets brought in a lot of money, with the sum rising from Rs. 212.01 crore to Rs. 292.82 crore (all rise in figures, YoY).
IRCTC's total income goes up to Rs. 716.79 crore
IRCTC's total income in Q4FY22 more than doubled in comparison to Q4FY21 (Rs. 716.79 crore v/s Rs. 358.25 crore). For the financial year 2021-2022, the company's board of directors has also recommended a final dividend of Rs. 1.5 per share of the face value of Rs. 2 each. This is in addition to the interim dividend of Rs. 2 per share.
Railway Board urged to waive off haulage charges
IRCTC has requested the Railway Board to waive off haulage and custody charges to the tune of Rs. 27.93 crore as COVID-19-induced lockdowns prevented it from carrying out operations. However, the matter is still pending.
