ITC Ltd

ITC Ltd maintains a robust capital structure characterized by high liquidity and minimal leverage. The current ratio stands at 3.04, indicating strong short-term solvency, while the debt-to-equity ratio is exceptionally low at 0.03. Total equity of INR 725.07 billion significantly outweighs total liabilities of INR 212.85 billion. Long-term debt is limited to INR 23.99 billion, and the company holds INR 2.39 billion in cash and equivalents. Despite the low debt load, the risk assessment flags net cash as negative after subtracting total debt, suggesting that total debt obligations exceed liquid cash reserves, though the overall balance sheet remains conservative.

Profitability metrics demonstrate strong operational efficiency and returns. The company reports a net income of INR 206.89 billion on revenue of INR 899.13 billion, yielding a net margin of approximately 23%. Return on equity (ROE) is 28.53%, and return on assets (ROA) is 22.06%, indicating effective utilization of both shareholder capital and total assets. The operating income of INR 253.03 billion reflects a healthy operating margin, supporting the high valuation multiples. The price-to-earnings ratio is 17.08, and the price-to-book ratio is 4.87, suggesting the market values the company's consistent earnings power and asset base.

There are no material changes to report for ITC Ltd (ITC.NS) in the current analysis period. A review of 17 fields, excluding four schema-expansion fields, confirmed that the company's status remains unchanged compared to prior assessments. The cross-source signal data indicates a period of low activity, with only a single dispatch recorded on June 26, 2026, and zero dispatches for the remainder of the observed window through mid-July 2026. No sentiment data was associated with this limited activity. The company continues to be covered by 19 analysts, maintaining a consistent level of professional scrutiny. However, there are no reported changes in officer count, index membership, or top holder composition during this timeframe. Given the absence of new material developments or significant shifts in market signals, the fundamental outlook for ITC Ltd remains stable. Investors should note that no new events, ratings, or financial adjustments have been identified to alter the previous analysis.

Revenue grew 10.2% year-over-year to INR 899 billion in FY2026, demonstrating strong top-line expansion.

Free cash flow surged 54.3% year-over-year to INR 25 billion, highlighting improved cash generation capabilities.

Analysts project 12.9% upside to a mean price target of INR 349.52, suggesting undervaluation.

Long-term debt surged to INR 23.99 billion in FY2026, a sharp increase from INR 2.85 billion prior.

Cash conversion ratio of 0.89 trails the 1.25 median for the Household & Personal Products cohort.

The company faces medium liquidity risk, indicating potential challenges in meeting short-term financial obligations.

Revenue INR 238.21B, +16,9% YoY; Operating income +6,0% YoY.

• ▍Revenue INR 238.21B, +16,9% YoY
• ▍Operating income +6,0% YoY
• ▍Net income −72,7% YoY
• ▍Net margin 22.6%

Revenue INR 217.07B, +6,7% YoY; Operating income +2,5% YoY.

• ▍Revenue INR 217.07B, +6,7% YoY
• ▍Operating income +2,5% YoY
• ▍Net income −0,1% YoY
• ▍Net margin 22.7%

Revenue INR 212.56B, −1,3% YoY; Operating income +3,5% YoY.

• ▍Revenue INR 212.56B, −1,3% YoY
• ▍Operating income +3,5% YoY
• ▍Net income +2,7% YoY
• ▍Net margin 24.1%

Revenue INR 231.29B, +19,5% YoY; Operating income +4,1% YoY.

• ▍Revenue INR 231.29B, +19,5% YoY
• ▍Operating income +4,1% YoY
• ▍Net income +3,0% YoY
• ▍Net margin 22.7%

Revenue INR 203.76B; Operating income INR 61.08B.

• ▍Revenue INR 203.76B
• ▍Operating income INR 61.08B
• ▍Net margin 96.8%

Revenue INR 203.50B; Operating income INR 59.46B.

• ▍Revenue INR 203.50B
• ▍Operating income INR 59.46B
• ▍Net margin 24.2%

Revenue INR 215.36B; Operating income INR 61.36B.

• ▍Revenue INR 215.36B
• ▍Operating income INR 61.36B
• ▍Net margin 23.2%

Revenue INR 193.50B; Operating income INR 61.42B.

• ▍Revenue INR 193.50B
• ▍Operating income INR 61.42B
• ▍Net margin 26.3%

Revenue INR 899.13B, +10,2% YoY; Operating income +4,6% YoY.

• ▍Revenue INR 899.13B, +10,2% YoY
• ▍Operating income +4,6% YoY
• ▍Net income −40,5% YoY
• ▍Free cash flow +54,3% YoY
• ▍Net margin 23.0%

Revenue INR 816.13B, +10,4% YoY; Operating income +2,1% YoY.

• ▍Revenue INR 816.13B, +10,4% YoY
• ▍Operating income +2,1% YoY
• ▍Net income +69,8% YoY
• ▍Free cash flow +192,5% YoY
• ▍Net margin 42.6%

Revenue INR 738.91B, −3,4% YoY; Operating income −1,1% YoY.

• ▍Revenue INR 738.91B, −3,4% YoY
• ▍Operating income −1,1% YoY
• ▍Net income +6,6% YoY
• ▍Free cash flow −156,3% YoY
• ▍Net margin 27.7%

Revenue INR 765.18B, +17,4% YoY; Operating income +26,8% YoY.

• ▍Revenue INR 765.18B, +17,4% YoY
• ▍Operating income +26,8% YoY
• ▍Net income +25,9% YoY
• ▍Free cash flow +140,3% YoY
• ▍Net margin 25.1%