On 14th August 2025, NTC Industries Limited announced its Q1 FY26 financial results. The company delivered outstanding performance in both revenue and profitability, recording one of its strongest quarters in recent years.
NTC reported a 272.16% YoY rise in PAT and a 250.12% increase in revenue on a consolidated basis. The results highlight the company’s ability to scale operations, control costs, and sustain strong business momentum in a competitive industry.
Financial Performance Overview
Consolidated Results
| Particulars | Q1 FY26 (30-06-2025) | Q1 FY25 (30-06-2024) |
|---|---|---|
| Revenue from Operations | ₹29.42 Cr | ₹8.40 Cr |
| Profit Before Tax (PBT) | ₹9.70 Cr | ₹3.21 Cr |
| Profit After Tax (PAT) | ₹5.67 Cr | ₹1.52 Cr |
Highlights:
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Revenue rose by 250.12% YoY.
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PAT grew from ₹1.52 crore to ₹5.67 crore, marking a 272.16% YoY increase.
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PBT improved significantly, reflecting stronger margins.
Standalone Results
| Particulars | Q1 FY26 (30-06-2025) | Q1 FY25 (30-06-2024) |
|---|---|---|
| Revenue from Operations | ₹26.01 Cr | ₹5.01 Cr |
| Profit Before Tax (PBT) | ₹6.65 Cr | ₹0.97 Cr |
| Profit After Tax (PAT) | ₹4.64 Cr | ₹0.44 Cr |
Highlights:
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Standalone revenue increased by 419.49% YoY, a sharp improvement in core operations.
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PAT surged by an impressive 946.50% YoY, from ₹0.44 crore to ₹4.64 crore.
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The standalone business showed exceptional scalability and efficiency gains.
Q1 FY26 vs Q1 FY25: Key Highlights
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Strong Revenue Growth
Consolidated revenue grew from ₹8.40 crore to ₹29.42 crore, indicating successful execution of orders and expansion in operations. -
Profitability Boost
PAT growth of 272% consolidated and nearly 947% standalone reflects improved margins, cost efficiency, and higher operational leverage. -
Sustained Momentum
The company’s performance suggests robust demand in its sector, coupled with disciplined financial management.
Share Price Performance
NTC Industries’ shares reflected positive momentum after the results. On 21st August 2025, shares opened at ₹204.35 and traded higher at ₹208.25 by market close.
| Period | Returns (%) |
|---|---|
| 1 Year | -17.93% |
| 5 Years | +674.16% |
| Max Period | +2,213.89% |
Observations:
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Short-term performance shows weakness with a 17.93% decline in 1 year.
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Over the medium-term (5 years), the stock has delivered a 674.16% return, significantly outperforming many peers.
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Over the long term, the stock has generated 2,213.89% returns, rewarding early investors substantially.
Analysts’ Expectations Post Q1 Results
Given the exceptional Q1 performance, analysts are projecting positive movement in NTC Industries’ stock price.
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Bullish Scenario: If the company sustains momentum, the stock may reach ₹250.40 per share within a year.
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Bearish Scenario: In case of adverse market conditions, the price may decline to ₹170.60 per share.
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Neutral Scenario: Likely consolidation between ₹190–₹220 per share in the near term.
Analysts suggest that while the outlook is strong, investors should factor in market volatility before taking positions.
Business Model and Growth Drivers
NTC Industries operates in the tobacco and related products industry, focusing on:
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Manufacturing of tobacco products.
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Distribution across domestic and export markets.
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Leveraging brand presence in niche segments.
Growth Drivers:
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Rising demand in domestic markets for branded tobacco products.
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Expansion in international markets offering growth opportunities.
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Operational efficiency boosting margins.
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Government policy stability allowing steady industry operations.
Risk Factors
Investors should remain mindful of risks associated with NTC Industries:
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Regulatory Risk: The tobacco industry is subject to strict government regulations, taxes, and potential bans.
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Market Volatility: Despite strong fundamentals, external market conditions may drive share price swings.
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Health Sector Pressure: Global anti-tobacco campaigns can affect demand and long-term growth.
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Concentration Risk: Heavy dependence on tobacco reduces diversification in revenue streams.
Comparative Analysis with Peers
| Company | Market Cap (₹ Cr) | P/E Ratio | 1-Year Return (%) | 5-Year Return (%) |
|---|---|---|---|---|
| NTC Industries | ~₹1,200 Cr (est.) | 18.9x | -17.93% | +674.16% |
| ITC Limited | ~₹5,80,000 Cr | 28.5x | +25% | +185% |
| Godfrey Phillips | ~₹18,000 Cr | 24.1x | +30% | +210% |
| VST Industries | ~₹6,500 Cr | 20.4x | +22% | +170% |
Insights:
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NTC trades at a lower P/E ratio compared to larger peers, making it relatively undervalued.
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While returns have been negative in the past year, its 5-year and long-term returns are stellar, showcasing its potential for wealth creation.
Future Outlook
The future of NTC Industries hinges on:
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Sustaining Revenue Growth: Continued expansion in domestic and export markets.
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Margin Improvement: Ongoing efficiency gains can further strengthen profitability.
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Diversification: Exploring allied businesses could reduce reliance on tobacco.
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Investor Confidence: Consistent quarterly results will attract stronger institutional participation.
Conclusion
NTC Industries’ Q1 FY26 results mark a strong performance, with revenue up 250% and profit rising 272% on a consolidated basis. The company’s ability to deliver nearly 947% growth in standalone PAT underscores the strength of its operations.
While the stock has been volatile in the short term, its long-term record of wealth creation remains impressive. Analysts are optimistic about its prospects, setting price targets between ₹170.60 and ₹250.40 in the near term.
For long-term investors, NTC Industries remains an attractive option in the tobacco sector, with robust fundamentals, operational efficiency, and significant upside potential. However, regulatory and market risks must be factored in when making investment decisions.
ALSO READ: Fidel Softech Q1 FY26: PAT Surges 72%, Revenue 33%
