Professional Documents
Culture Documents
Rs Crs Gross Turnove r Ne Turnove t r Marke Capitalisation t PBDIT PBIT PBT PAT (Afte Exce r ptional Ite ms) EPS Rs (Equalise for 99 ) d -99 Ne W t orth Capital Employe d ROCE% Total S hare holde Re rs turns %
Rs. 1 crore= Rs. 10 million
9- 9 99 99 99 11 11 11 11 99 9 99 9 99 9 99 9 9 .9 99 99 99 99 9.9 9
Cagr 99 -99 to 99 -99 9,99 99 1.1 1% 1,11 11 9.9 9% 99 9 9,99 1.1 1% 99 ,99 9.9 9% 99 ,99 9.9 9% 99 ,99 9.9 9% 99 ,99 9.9 9% 9.9 99 9.9 9% 9,99 99 9.9 9% 9,99 99 9.9 9% 1.1 1 9.9 9% 9- 9 99
Rs crs Gross Turnover External Net Turnover External PBDIT PBIT PBT PAT
99 ,9 9 (111 ) 99 ,9 9 99 9 99 9 99 9 11 ,1 1 9 9 (999 ) 99 ,9 9
Q9 /99 99 Actuals Gross Turnover External Net Turnover External PBDIT PBIT PBT PAT 99 99 11 11 11 11 11 11 99 99 99 99
b) Hotels c) Agri Business d) Paperboards, Paper & Packaging Total Less : Inter segment revenue Gross sales / income from operns. 9Segment Revenue (Net) . a) FMCG - Cigarettes - Others Total FMCG
b) Hotels c) Agri Business d) Paperboards, Paper & Packaging Total Less : Inter segment revenue Net sales / income from operns.
ITC
Featuring 400 of the Worlds best big companies with M-cap. > USD 5 bln. & are rated as the most attractive companies for investors
A comprehensive ranking of worlds biggest companies measured by a composite of sales, profits, assets & market value
Sustained value creation (BT-Stern Stewart survey) Operating profits Cash Profits
Ranks No. 5 among Indian listed Private Sector Companies by market cap. No. 1 in FMCG Sector Rated as one of Indias Most Respected Companies (IMRB-Businessworld Survey 2006)
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Matche s
Incense Sticks
Hotels
Agri Business
Information Technology
Corporate Management Committee : Comprising executive directors and senior managers Strategic management
Executive management
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Corporate Strategies
Sustain multiple drivers of growth, matching internal capabilities with emerging market opportunities Pursue World class competitiveness in all businesses and across the entire value chain Best-in-class in terms of: Internal Vitality Market Standing Profitability Strategy of Organisation and Governance processes geared to manage multiple businesses Blend core competencies and leverage ITC umbrella strengths to create new avenues of growth
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FMCG - Cigarettes
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99 99
11 11
99 9 11 1 99 9 99 9
China
USA
Pakistan
Nepal
India
World
Source:World Cigarettes ERC Statistics, Tob Board & Industry Estimates gms/Yr
99 99 99 99 99 99 99 99 99 99 99 9 9
99 99
99 99
11 11
s t e r a g i C f O o N
99 9 99 9 99 9 99 9 99 9
1 1
A S U
n p a J
a n i h C
l a p e N
a i d n I
d l r o W k n a L i r S h s e d l g n a B
Countries
n t s i k a P
g a r e v A
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Cigarettes: Challenges
Competitive context
Competition including international majors becoming more active Domestic illegal volumes still very strong. Alongwith smuggled contraband, has emerged as substantive segment
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Category
Luxury Upper upscale Upscale - mid-scale Heritage
Brand
ITC Hotel: Luxury Collection WelcomHotel: Sheraton Fortune Hotels WelcomHeritage
Positioning
"Mansions of Luxury" "Passion for Quality" "Promise of True Value" "Unique Experiences"
Bangalore 292 room luxury hotel launched in October 09 Capacity expansion underway at Chennai & Kolkata; plans for other locations also being progressed. Fastest growing hotel chain with highest operating efficiency (PBDIT/Net Income @ 40%) amongst the 3 leading chains Leverages unique service proposition and international alliance with Starwood Hotels & Resorts - Luxury Collection / Sheraton
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Rural Indias largest Internet-based intervention Over 40000 villages linked through around 6500 e-Choupals servicing over 3.5 million farmers
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Strategic Rationale
Blend multiple competencies residing within the ITC Group to create new avenues of growth Best fit between internal capabilities and emerging market
opportunities Each segment enhances the depth and width of ITCs FMCG distribution capability Business model retains critical elements of value chains within ITC with other elements outsourced Contributing to the competitiveness of SMEs
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Lifestyle Retailing
Leverages trade mark and services expertise of hotels Relaxed wear market growth > 20% p.a Upmarket product range available in exclusive Wills Lifestyle stores (56) and multi-branded outlets/ large format retail stores across the country Premium segment comprising the Classic range of formal wear, Wills Sport relaxed wear and Wills Clublife evening wear Designer association with leading Indian designers Wills Signature line Strong distribution network in place for the mid-market brand John Players availability in 225 Exclusive Branded outlets, 200 multi branded outlets and departmental stores Wills Lifestyle rated amongst the top 5 Luxury brands in the country (Global Luxury Survey conducted by TIME Magazine)
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Safety Matches
Current industry consumer spend estimated at Rs. 1250 crores p.a. for 24 billion match boxes Fragmented supply base arising from policy of reservation for small scale industry Mass market moving from 0.50 p price point to Re 1.00. ITC markets its brands with value added products across each price point Support SMEs with complementary marketing strengths AIM Indias largest selling Safety Matches brand Successful acquisition of WIMCO Ltd. by Russell Credit Key brands: Homelites, Ship, Cheetah Fight etc.
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Essenza Di Wills (Prestige) Fiama Di Wills (Premium) Vivel Di Wills and Vivel (Mid) Superia (Popular)
Products well received in the market, gaining customer acceptance Supported by investments in brands celebrity endorsements Investments being made in Research & Development and strategic tax
Forward-looking Statements
Statements in this presentation describing the Companys objectives, future prospects, estimates, expectations etc. may be forward looking statements within the meaning of applicable securities laws and regulations. Investors are cautioned that forward looking statements are based on certain assumptions of future events over which the Company exercises no control. Therefore there can be no guarantee as to their accuracy. These statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those that may be projected or implied by these forward looking statements. Such risks and uncertainties include, but are not limited to: growth, competition, acquisitions, domestic and international economic conditions affecting demand, supply and price conditions in the various businesses in the Companys portfolio, changes in Government regulations, tax regimes and other statutes, and the ability to attract and retain high quality human resource.
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