Slide 1: Q2 FY24 Results
Q2 FY24 Results 19th October, 2023 |1|
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains certain forward-looking statements including those describing the Company’s strategies, strategic direction, objectives, future prospects, estimates etc. Investors are cautioned that “forward looking statements” are based on certain assumptions o
Slide 3: Macro Economic Context
Macro Economic Context |3|
Slide 4: Macro Economic Environment
Macro Economic Environment Global Economy remains weak Global Growth Slowdown in 2023 (GDP % y-o-y) ▪ 2023 Global GDP growth estimated at 3.0% (vs 3.5% in 2022); - Growth in Advanced Economies slowing down - China & EU facing structural weakness ▪ Tight monetary conditions weighing on investment and
Slide 5: Elevated Food Inflation & below-normal Monsoon
Elevated Food Inflation & below-normal Monsoon Subdued Consumer Demand (Rural / Value Segment) Rainfall & Reservoir levels (-)6% LPA; 2W, compact car and SUV sales (YoY%) Housing Credit (YoY%) Spatial/Temporal skews; Recovery in Kharif sowing 33% 32% 34% PSL = Priority Sector Lending 28% 28% 49% 44%
Slide 6: Key Positives Key Monitorables
India Macro Heightened Uncertainty Key Positives Key Monitorables Moderating Inflation Subdued Consumption Geopolitical dynamics Strong tax collections Uncertainty on Crude oil prices Consumption Buoyancy in services Demand Commodity and uptick in Global growth & price volatility consumer sentiments
Slide 7: Q2 FY24 Results Key Highlights
Q2 FY24 Results Key Highlights |7|
Slide 8: Key Highlights: Q2 FY24 Gross Revenue EBITDA
Key Highlights: Q2 FY24 Gross Revenue EBITDA excl. Wheat & Rice exports excl. Paperboards, Paper & Packaging Segment +8.9% +9.5% Profit After Tax +10.3% For the quarter ended 30th Sept, 2023, YoY change |8|
Slide 9: Key Highlights: Q2 FY24
Key Highlights: Q2 FY24 ▪ Strong performance continues in FMCG – Others; Segment Revenue up 8.3% YoY on a high base; 2-year CAGR +14.5% ̶ Atta, Spices, Personal Wash and Agarbatti drive growth amidst relatively subdued consumer demand environment ̶ Classmate Notebooks and Pens witnessed strong growt
Slide 10: Key Highlights: Q2 FY24
Key Highlights: Q2 FY24 ▪ Agri Business Segment Revenue up 26.4% YoY (excl. Wheat & Rice exports) driven by Value Added Agri products & Leaf Tobacco ̶ Segment PBIT up 3.3% YoY (2 Yr. CAGR +9.7%) ̶ Geopolitical tensions & climate emergencies raise concerns on food security and food inflation; trade r
Slide 11: FMCG Others
MM ENA Enduring Value FMCG Others | Oops! We're sorry to initiate oe! ORIGINAL Celebrating Happy Teacher's Day Maa t; * I - ae . ey 4 Va y Mi, ely Te | an
Slide 12: FMCG Others – Q2 FY24
FMCG Others – Q2 FY24 Segment Revenue up 8.3% YoY on a high base ▪ Segment Revenue up 8.3% YoY; 2 Yr. CAGR +14.5% on a high base; Q2 FY23 had witnessed sharp sequential growth - Strong YoY growth in Atta, Spices, Personal Wash and Agarbatti - Notebooks & Pens continues to witness strong traction ▪ R
Slide 13: Commodity Price Trends
Commodity Price Trends A Mixed Bag Indexed market rates | 13 |
Slide 14: FMCG Others Segment EBITDA +25% YoY
FMCG Others Segment EBITDA +25% YoY Margins up 150 bps YoY ▪ Q2 Segment EBITDA margins at 11.0% up 150 bps YoY - Margin expansion driven by multi-pronged interventions viz. premiumisation, supply chain agility, judicious pricing actions, digital initiatives and strategic cost management Annual Rs. C
Slide 15: Purposeful Innovation
Purposeful Innovation Recent Launches Tedhe Medhe |Bingo! Nachos Sunfeast YiPPee! Bounce Day & Night Sunfeast Fantastik Aashirvaad Svasti Cream & Onion | Chilli Limon Magic with Millets Choco & Vanilla Roast Almond| Paneer Slices Choco Almond ITC Master Chef Frozen Snacks Sunrise Spices Savlon Handw
Slide 16: Deepening Consumer Engagement
Deepening Consumer Engagement Leveraging Emerging Trends Targeted Brand Collaboration HAR DIL KI FANTASY Engagements: 7 lakh+ darkfantasyadwithsrk.in Scan to try now! | 16 |
Slide 17: Leveraging Special Occasions to enhance Consumer Connect
Leveraging Special Occasions to enhance Consumer Connect | 17 |
Slide 18: High Intensity Activations
High Intensity Activations Regional taste and preferences Sharpening Value Proposition Cohort based marketing IF YOUR PET IS ONE OF THESE……. NAP GOD YOGA LOVER TREAT HUNTER | 18 |
Slide 19: FMCG Cigarettes
MM ENA Enduring Value FMCG Cigarettes
Slide 20: FMCG Cigarettes – Q2 FY24
FMCG Cigarettes – Q2 FY24 ▪ Net Segment Revenue* up 8.5% and Segment PBIT up 8.0% YoY on a high base ̶ 2 Yr. CAGR: Net Segment Revenue +15.7%, Segment PBIT +15.5% Segment Revenue ▪ Portfolio Vitality | Product Availability | Execution Excellence 7658 cr. 10.1% ̶ Several differentiated variants launc
Slide 21: FMCG Cigarettes Reinforcing market standing
FMCG Cigarettes Reinforcing market standing Innovation Portfolio Fortification • Classic Connect • Gold Flake Neo SMART Filter • Gold Flake SLK • Wills Deluxe • American Club Clove Mint • Bristol Deluxe FT • Gold Flake Indie Mint • Flake XL • Flake Skipper Recent Introductions • Classic Alphatec • A
Slide 22: Hotels Business
MM ENA Enduring Value Hotels Business | ITC HOTELS RESPONSIBLE LUXURY HONOURED TO HAVE CURATED AND SERVED FROM THE BEST OF INDIA’S CULINARY HERITAGE AT THE G20 SUMMIT, BHARAT MANDAPAM, NEW DELHI SH 202 2 ast Sy ONE, EARTH - ON
Slide 23: Hotels – Q2 FY24 Record high second quarter
Hotels – Q2 FY24 Record high second quarter ▪ Strong growth in ARRs across properties ̶ Occupancy flattish YoY mainly due to renovations & relatively fewer wedding dates. ▪ Healthy pipeline of management contracts under Mementos, Welcomhotel, Storii, Segment Revenue Fortune and WelcomHeritage brands
Slide 24: Curated from the best of India's culinary heritage at G20 summit
Curated from the best of India’s culinary heritage at G20 summit, New Delhi The Largest and the most exclusive catering in Indian Hospitality ever | 24 |
Slide 25: Curated offerings to drive demand
Curated offerings to drive demand Special Occasions leveraged Marketing campaigns Celebrations on Gourmet Couch Trails and Tales Onam Sadhya | 25 |
Slide 26: Executing 'Asset Right' Strategy
Executing ‘Asset Right’ Strategy Bouquet of brands catering to relevant need spaces (21 properties added in the last 18 months) Strong pipeline of management contracts | 26 |
Slide 27: Agri Business
MM ENA Enduring Value Agri Business
Slide 28: Agri Business – Q2 FY24
Revenue up 26.4% (excl. Wheat & Rice exports) Agri Business – Q2 FY24 driven by Value Added Agri & Leaf Tobacco ▪ Strong customer relationships & agile execution in Leaf Tobacco & Value Added Agri exports continue to drive growth Segment Revenue ▪ Strategic sourcing support to Branded Packaged Foods
Slide 29: Paperboards, Paper & Packaging
Paperboards, Paper & Packaging | 29 |
Slide 30: Paperboards, Paper & Packaging – Q2 FY24
Challenging operating environment Paperboards, Paper & Packaging – Q2 FY24 & high base effect ▪ Performance reflects impact of low priced Chinese supplies in global markets, drop in Chinese domestic demand and slump in EU markets exerted pressure on exports; sharp reduction in Segment Revenue global
Slide 31: Financials
Financials | 31 |
Slide 32: Key Financials – Q2 FY24
Key Financials – Q2 FY24 YoY Rs. Cr. Q2 FY24 Q2 FY23 growth Gross Revenue 17,549 16,971 3.4% +8.9% YoY (excl. Wheat & Rice exports) Net Revenue 16,357 15,976 2.4% EBITDA 6,042 5,864 3.0% +9.5% YoY (excl. Paperboards, Paper & Packaging Segment ) PBT 6,514 5,939 9.7% PAT 4,927 4,466 10.3% Standalone b
Slide 33: Segment Revenue Q2 FY24
Segment Revenue Q2 FY24 • FMCG Cigarettes - Net Segment Revenue* up 8.5% YoY Q2 - 2 Yr. CAGR at 15.7% YoY Rs. cr. FY24 FY23 • FMCG Others growth Segment Revenue - Segment Revenue up 8.3% YoY on high base a) FMCG - Cigarettes 7658 6954 10.1% - 2 Yr. CAGR at 14.5% - Others 5292 4885 8.3% - Staples, No
Slide 34: Segment Results Q2 FY24
Segment Results Q2 FY24 Q2 • FMCG Cigarettes YoY Rs. cr. FY24 FY23 - Segment PBIT up 8.0% YoY growth • 2 Yr. CAGR at 15.5% Segment Results a) FMCG - Cigarettes 4782 4429 8.0% • FMCG-Others: - Others 439 321 36.8% ‒ Segment EBITDA at 581 cr. (+25% YoY) Total FMCG 5220 4750 9.9% ‒ EBITDA margin at 11.
Slide 35: ITC – A Global Exemplar in Sustainability
ITC – A Global Exemplar in Sustainability | 35 |
Slide 36: Impactful Social Performance
Impactful Social Performance ITC e-Choupal Afforestation Watershed Development Livestock Development Solid Waste Management Over 11,13,000 acres Over 1.5 million acres Well-being Out of Waste 4 Million Farmers Over 21.7 lac milch programme covers empowered greened covered animals covered 57.2 lac ho
Slide 37: Sustainability 2.0 Sustainability Targets 2030
Sustainability 2.0 Sustainability Targets 2030 REDUCE I RECYCLE I RESTORE Raising the Bar Strategic Interventions to Combat Climate Change Renewable Specific GHG Recyclable Plastic Plastic Energy Emissions Packaging Neutrality De-Carbonization Climate Adaptation and 100% Resilience 50% 50% 100% Coll
Slide 38: Sustainability – Highlights
Sustainability – Highlights • Exceeded commitment on Plastic Neutrality; collected and sustainably managed over 60,000 MT of plastic waste in FY23 • 60% critical Tier - 1 suppliers trained on ESG related aspects during FY23 • Best-in-class ESG Ratings: • AA rating by MSCI for the 5th consecutive yea
Slide 39: ITC Infotech
ITC Infotech | 3939|
Slide 40: ITC Infotech
ITC Infotech Rs. cr. Revenue EBITDA Rs.cr. 350 0 3321 300 0 2853 2454 250 0 2249 2007 717 200 0 150 0 618 579 100 0 161 291 • Strong double digit sequential growth in Revenue 500 0 • Healthy Total Contract Value (TCV) signings; strong pipeline FY19 FY20 FY21 FY22 FY23 • Investments continue in Capab
Slide 41: ITC: Enduring Value
ITC: Enduring Value A passion for in a way that is and Profitable growth... Sustainable… Inclusive. | 41 |
Slide 42: Links
Links Product/initiative Link Bingo! on Instagram https://www.instagram.com/bingo_snacks/ YiPPee! on Instagram https://www.instagram.com/sunfeast_yippee/ Aashirvaad on Instagram https://www.instagram.com/aashirvaad/ Sunfeast Dark Fantasy on Instagram https://www.instagram.com/sunfeastdarkfantasy/ Mo