ITC Limited

One of Indias Most Admired and

Valuable Companies

ITC Hotels

ITC Performance Track Record

1995-1996

2013-14

18-yr Cagr 9596 to 13-14

Net Revenue
PBDIT
PBIT
PBT
PAT
Capital Employed
ROCE%

2,536
584
536
452
261
1886
28.4

32,883
13,562
12,662
12,659
8,785
27,626
45.8

15.3%
19.1%
19.2%
20.3%
21.6%
16.1%

Market Capitalisation
Total Shareholder
Returns%

5,571

280708

24.3%
25.9

Market Cap and TSR based on FY-end prices

Sensex (CAGR 95-96 to 13-

Segment Revenue -2013/14

2013-14

Rs. Cr.
2012-13
GOLY%

Segment Revenue(NET)
A. FMCG -cigarettes
-others
-total FMCG

15456
8099
23555

13970
6983
20953

10.6
16.0
12.4

B. Hotels
C. Agribusiness
D. Paperboards, paper and
packaging

1133
7752
4861
37301

1074
7201
427
33464

5.5
7.7
14.7
11.5

4418
32883

3859
29606

14.5
11.1

TOTAL
Less : Inter segment revenue
Net Sales/ Income from
Operations

ITCs ranking amongst all listed

private sector cos.
PBT: No. 6
PAT: No. 5
Market Capitalisation: No. 3

One of Indias most valuable and

admired companies
One of the foremost in the private sector in terms of:
Sustained value creation
Operating profits
Cash Profits
Only Indian FMCG Company to feature in Forbes 2000 List
A comprehensive ranking of worlds biggest companies
measured by a composite of sales, profits, assets & market
value
Also ranked amongst the Top 10 global FMCG companies in
terms of value creation during the period 2005- 2009 by
Boston Consulting Group.
Is the only Indian company to feature consistently amongst
the Top 10 global FMCG companies.

Awards & Accolades

ITC Grand Chola, the worlds largest LEED Platinum rated

hotel in the New Construction category, launched in
September 2012

ITC Hotels awarded the Most Trusted Hotel brand in the

Public Choice Honours category at the Times Travel Honours

Best Overall Corporate Social Responsibility Performance :

Institute of Public Enterprise

ITC Hotels was recognised as the Most Respected Company

in the Hospitality category by the Magazine.

 100 properties across 70 locations

4 BrandsITC Hotels, Welcom Hotel, Fortune & Welcom
Heritage
-20 Five-Star Deluxe/Five-Star Properties with over 4500
rooms
-43 Fortune Hotels with nearly 3600 rooms
-37 Welcom Heritage Properties with over 900 rooms
Added four new hotels under Management Contract at New
Delhi, Chandigarh, Kollam and Kozhikode in2013/14.
ITC Hotels rated as greenest luxury hotel chain in the world
ITC Grand Chola-First 5 Star 'Green Rating for Integrated
Habitat Assessment (GRIHA) rated luxury hotel by the
Ministry of New and Renewable Energy.
-Projects under way at Kolkata, Classic Golf Resort (near
Gurgaon)
and Hyderabad.

BCG Matrix of ITC

Hig
h

STAR
Hotels
Paperboard/packaging
Agribusiness

?
FMCG-others

COW
FMCG-Cigarettes

DOG

Low
High
Low

Key Competitors

EIH
INDIAN HOTELS
HOTEL LEELA
ASIAN HOTELS
JAYPEE HOTELS
ORIENTAL HOTELS
TAJ GVK HOTELS
ROYAL ORCHID
ADVANI HOTELS
EIH ASSOCIATE HOTELS

Critical Success factor

Site and location

Positioning and guest profile
Financial strength
Brand recognition
Yield management
Differential pricing

SWOT Analysis
Strength

Weakness

Brand
Distribution network
Management

Dependence on tobacco
revenues
Negative connection of tobacco

Opportunity

Threat

Low per capita consumption of

personal care products
Rural market
E-Choupal

Competition both domestic and

international
Increasing tax on cigarettes

Porters five force model

Threat of new
entrants

Bargaining
power of
buyers

Competitive
rivalry
amongst
existing
players

Threat of
substitutes

Bargaining
power of
suppliers

Threat of new entrants

Brand loyalty of customers
Access to raw materials and
distribution channel
Cost of land in India
Taxes

Bargaining power of suppliers

High class hotels are operated by few
hotel chains
No substitutes for spas and five star
hotels
Hotel customers are fragmented

Bargaining power of buyers

Hotel industry is most invested in its
fixed assets
Buyers are highly informed
Buyers are price sensitive

Threat of substitutes
Brand loyalty of customers
Hotel relationship with customers
Price variation of same class hotel
services

Competitive rivalry among existing

players
Providing same services
Hotel industry growing in secondary
cities also