Slide 1: Q3 FY25 Results
Q3 FY25 Results 6th February, 2025 |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: India Macro Environment
India Macro Environment India remains relatively resilient amidst sluggish global economy Slowdown in growth momentum Real GDP growth yoy 8.2 8.6 8.1 7.8 6.7 5.4 FY25 Real GDP growth estimated at 6.4% (FY24: 8.2%) Q1 Q2 Q3 Q4 Q1 Q2 FY24 FY24 FY24 FY24 FY25 FY25 Source: MOSPI Broad-based slowdown
Slide 5: Consumption remains muted amidst overall Macroeconomic Stability
Consumption remains muted amidst overall Macroeconomic Stability Food inflation elevated (Quarterly Avg YoY%) Real rural wages remain weak; recent uptick augurs well 9.0% Jun-24 Sep-24 Dec-24 Real Farm YoY% Real Non Farm YoY% 6.0% 8.9% 9.4% 3.0% 6.8% 5.6% 0.0% 4.9% 4.2% -3.0% -6.0% -9.0% CPI CPI Foo
Slide 6: Headwinds emerge on External Account
Headwinds emerge on External Account Net Capital Outflows in Q3 FY25 ($ bn) Widening Trade Deficit ($ bn) 12.0 Gold Import $ bn Trade Deficit $ bn 9.0 30 CAD $ bn 19.2 6.0 10 3.0 -10 0.0 -11 -30 -31 -3.0 -6.0 -50 Net FDI Net FII -70 -78 -78 -9.0 -12.0 -90 Source: RBI, NSDL Source: Ministry of Commer
Slide 7: Union Budget 2025
Union Budget 2025 Equal Thrust on Capex and Consumption Agri Focus & Rural Prosperity | Inclusive Development Productivity | Future facing Technology |Credit | Cluster-based value chains Investing in People & Innovation | Focus on Labour Intensive industries, MSME, Gig workers Growth oriented Consum
Slide 8: Macro Economic Environment
Macro Economic Environment Balanced Macros amidst challenging operating environment Key Key Positives Monitorables Strong Bank & Trade barriers Stable growth Corporate and policy Food Inflation outlook Balance Sheets uncertainty Fiscal Deficit Public & External Good Rabi crop Steady Rural Urban rela
Slide 9: Q3 FY25 Results Headline Financials & Business Highlights
Q3 FY25 Results Headline Financials & Business Highlights |9|
Slide 10: Resilient performance amidst a subdued demand environment
Resilient performance amidst a subdued demand Key Highlights: Q3 FY25 environment & sharp escalation in input costs Standalone Gross Revenue EBITDA +8.4% c. 3% • Consolidated Revenue c. 9% Profit After Tax Interim Dividend • Consolidated PAT up 2.2% (excluding exceptional & One-off items^) +2.1% Rs.
Slide 11: Key Highlights: Q3 FY25 Best Ever Quarterly results
Key Highlights: Q3 FY25 Best Ever Quarterly results Profit Before Tax Gross Revenue (bei^) +14.6% +43.4% EBITDA Margins @40% +450 bps Demerged Business (Hotels) reported as Discontinued Operations ^before exceptional items | 11 |
Slide 12: Key Highlights: Q3 FY25
Key Highlights: Q3 FY25 Hotels Business demerged into ITC Hotels Limited (ITCHL) with effect from 1st January 2025 ― ITC Hotels Limited listed on the National Stock Exchange and Bombay Stock Exchange on 29th January, 2025 ― Reported as ‘Discontinued Operations’ in the financial results for the Qua
Slide 13: Key Highlights: Q3 FY25
Key Highlights: Q3 FY25 Cigarettes Net Segment Revenue* up 8.1% YoY, Segment PBIT up 4.1% YoY ̶ Strategic portfolio and market interventions, with focus on competitive belts & to counter illicit trade, drive volume-led growth & reinforce market standing ̶ Differentiated & premium offerings continu
Slide 14: Key Highlights: Q3 FY25
Key Highlights: Q3 FY25 Agri Segment Revenue up 9.7% YoY led by Leaf Tobacco & Value Added Agri products; Segment PBIT witnessed robust uptick - up 21.6% YoY ̶ Strong customer relationships and agile execution continue to drive growth in Leaf Tobacco & Value Added Agri exports (Coffee, Spices, etc
Slide 15: Key Highlights: Q3 FY25 Hotels (Demerged Business)
Key Highlights: Q3 FY25 Hotels (Demerged Business) Best ever quarterly performance; strong growth of 14.6% YoY in Revenue on a high base; PBT up 43.4% YoY ̶ Retail, Wedding and F&B segments drive growth ̶ EBITDA margin expands 450 bps YoY driven by higher RevPAR, operating leverage and strategic c
Slide 16: FMCG Cigarettes Q3 FY25
FMCG Cigarettes Q3 FY25 | 16 |
Slide 17: FMCG Cigarettes – Q3 FY25
FMCG Cigarettes – Q3 FY25 Strong volume led revenue growth Strong growth in Net Segment Revenue* - up 8.1% YoY, driven by volumes Segment Revenue Business continues to counter illicit trade and make strategic portfolio & market interventions with focus on competitive belts to reinforce market 81
Slide 18: FMCG Cigarettes Reinforcing market standing
FMCG Cigarettes Reinforcing market standing Innovation Portfolio Fortification • Classic Connect • Flake Spl • American Club Clove Mint • Classic Burst Portfolio • Gold Flake Indie Mint • Silk Cut Red • Uni Klov Recent Introductions • Classic Clove • Player’s Aromix • Classic Icon • AC Just Clove •
Slide 19: FMCG Others Q3 FY25
€Dark Fantasy MERRY ChRISTMAS MM ENA Enduring Value FMCG Others Q3 FY25 ITC MASTER Farmiite | COV ICN
Slide 20: FMCG Others – Q3 FY25
Resilient performance amidst FMCG Others – Q3 FY25 muted demand conditions Resilient performance in FMCG – Others; Q3 Segment Revenue up 4% YoY, up 5.2% YoY ex Notebooks - Staples, Snacks, Frozen Snacks, Dairy, Premium Personal Wash, Homecare & Agarbatti drive growth - Notebooks impacted by high b
Slide 21: FMCG Others
FMCG Others Q3 Segment EBITDA margin at 8.5%; YTD Dec’24 at 10.2% - Severe inflationary pressures witnessed in prices of edible oil, wheat, maida, potato, cocoa, packaging inputs etc. - Partially mitigated through focused cost management initiatives, calibrated pricing actions and premiumisation -
Slide 22: Future-Ready Portfolio Recent Launches
Future-Ready Portfolio Recent Launches Fortifying the Core Addressing New Growth Adjacencies Vectors Fiama Soap Japanese Hokkaido Bingo! Namkeen Dermafique Serum Classmate Bingo! Sour Cream & Herbs Sunfeast! Wowzers Bingo! Hot & Spicy Pudina Twist Advance Radiance eduGames infinity Popped Chips Enro
Slide 23: Deepening Consumer Engagement
Deepening Consumer Engagement Brand Integration Innovative Print Ads Brands with Purpose | 23 |
Slide 24: Deepening Consumer Engagement
Deepening Consumer Engagement Full on Festivals | 24 |
Slide 25: Large Scale Consumer Activations at Maha Kumbh Mela 2025, Prayagraj
Large Scale Consumer Activations at Maha Kumbh Mela 2025, Prayagraj | 25 |
Slide 26: Agri Business Q3 FY25
MM ENA Enduring Value Agri Business Q3 FY25 oy ITCMAARS ie ‘tater
Slide 27: Agri Business
Segment Revenue up 10% YoY Agri Business led by Leaf Tobacco & Value Added Agri Exports Strong growth in Value Added agri exports of Spices & Coffee ̶ Spices: Recorded robust growth leveraging world-class Guntur facility ̶ Coffee: Leveraged strong customer relationships & high demand (a/c shortage
Slide 28: Paperboards, Paper & Packaging Q3 FY25
Paperboards, Paper & Packaging Q3 FY25 | 28 |
Slide 29: Paperboards, Paper & Packaging
Paperboards, Paper & Packaging Resilient performance amidst a challenging operating environment Low priced Chinese & Indonesian supplies, soft domestic demand, lower realisations Segment Revenue continue to impact Industry performance 2144 cr. 3.1% ― Excess capacities in certain geographies ― Enga
Slide 30: Hotels Business Q3 FY25
MM ENA Enduring Value Hotels Business Q3 FY25
Slide 31: Hotels – Q3 FY25 Best Ever Quarter
Hotels – Q3 FY25 Best Ever Quarter Hotels Business demerged into ITC Hotels Limited (ITCHL) w.e.f. Jan 1st, 2025 Standalone Revenue^ ITCHL shares listed on stock exchanges on Jan 29th, 2025 922 cr. 14.6% Stellar performance on an elevated base; EBITDA Margin @40% ( 450 bps) Retail, Wedding a
Slide 32: Curated offerings to drive demand
Curated offerings to drive demand F&B Recognition Marketing Campaigns Celebrations on Gourmet couch | 32 |
Slide 33: Executing 'Asset Right' Strategy
15 Openings | ~1300 keys Executing ‘Asset Right’ Strategy in last 9 months Storii, Jaisalmer Welcomhotel, Jabalpur Welcomhotel, Delhi-Gurugram Highway Fortune Beachfront, Puri Healthy Pipeline of Management Contracts – Phased openings over the next few quarters | 33 |
Slide 34: Stellar Performance on an elevated base
Stellar Performance on an elevated base Consistent uptick in ARR & RevPAR Revenue from 16 0 00 74 % ARR RevPAR Occ 73% 73 % INR 931 Cr 15% Y-o-Y 14 0 00 Operations 73 % 12 0 00 72 % 72 % 10 0 00 71 % 8 00 0 71 % EBITDA 71% INR 368 Cr 29% Y-o-Y 6 00 0 70 % 4 00 0 69% 70 % 13000 14000 10300 69 % 9000
Slide 35: Operational Excellence
Driving Margin Expansion Operational Excellence Productivity | Efficiency EBITDA Margin expansion Raw Material Cost (% of F&B Revenue) 24% 40% 2 5% 39% 200 bps 2 4% 2% ↓ 22% 2 3% 38% 2 2% 250 bps 37% 40% 2 1% 36% 2 0% 35% 38.0% 1 9% 35% 35.3% 34% 1 8% 33% 1 7% 32% 1 6% Q3 FY24 Higher Higher Q3 FY25
Slide 36: Accelerating Growth through Managed Hotels
Accelerating Growth through Managed Hotels Managed Hotels Portfolio mix (Upscale to Luxury) Opened 30 Managed Hotels in the past 24 months (Jan 2023 – Dec 2024) High Quality of signed pipeline; High salience of Brownfields > 1 Hotel opening per month for next 24 months Leverage momentum to a
Slide 37: Diversified Customer Base
Diversified Customer Base High Retail salience in Revenue mix +4% LY includes G20 related business Revenue share increase from Contracted to Non-Contracted Growing Share of Higher Margin Segments business Standalone Discontinued Operations | 37 |
Slide 38: Strong Multi-channel Distribution Network
Strong Multi-channel Distribution Network Driving demand through focus on website and channels Unit Reservations Website and App (30%) (20%) Online Travel Guest Call Centre GDS Agents (15%) (17%) (18%) YTD Dec’24 (Standalone Discontinued Operations) | 38 |
Slide 39: Brand landscape
Brand landscape Operational Pipeline for next 4 years Total Brands Hotels | Keys Hotels | Keys Hotels | Keys 16 | 4737 - | 52 16 | 4789 2 | 181 1| 240 3 | 421 28 | 3041 12 | 1447 40 | 4488 7 | 191 10 | 558 17 | 749 56 | 4162 21 | 1707 77 | 5869 35 | 1016 3 | 130 38 | 1146 Total 144 | 13,328 47 | 413
Slide 40: Financials
Financials | 40 |
Slide 41: Key Financials
Key Financials YoY Rs. Cr. Q3 FY25 Q3 FY24 GOLY Growth Gross Revenue 18,953 17,483 8.4% Net Revenue 17,726 16,326 8.6% EBITDA 6,197 6,024 2.9% PBT (aei) 7,363 6,725 9.5% PAT 5,638 5,572 1.2% Comparable PAT +2.1% Current year PAT includes fair value gain of Rs. 463 cr. upon acquisition of certain inv
Slide 42: Q3 FY25 Financial Results Note relating to Hotels Demerger
Q3 FY25 Financial Results Note relating to Hotels Demerger The Hon’ble National Company Law Tribunal, Kolkata Bench (NCLT), vide Order dated 4th October, 2024, sanctioned the Scheme of Arrangement amongst the Company and ITC Hotels Limited (ITCHL) and their respective shareholders and creditors unde
Slide 43: Q3 FY25 Financial Results Note relating to Hotels Demerger
Q3 FY25 Financial Results Note relating to Hotels Demerger Brief particulars of the Discontinued Operations are given as under: (₹ in Crores) 3 Months Corresponding Preceding 3 9 Months 9 Months Twelve Months ended 3 Months Months Sr No Particulars ended ended ended 31.12.2024 ended ended 31.12.2024
Slide 44: Segment Revenue
Segment Revenue • FMCG Cigarettes - Strong growth of 8% YoY in Net Revenue, driven by volumes Q3 - Premium segment & new innovations continue to gain robust traction YoY • FMCG Others Rs. cr. FY25 FY24 growth - Revenue up 4% YoY amidst muted demand conditions; up 5.2% YoY excl. Segment Revenue Noteb
Slide 45: Segment Results
Segment Results • FMCG Cigarettes Q3 ‒ Sharp cost escalation in leaf tobacco YoY Rs. cr. FY25 FY24 ‒ Trade marketing spends restructured for sharper last growth Segment Results mile execution a) FMCG - Cigarettes 4924 4728 4% - Others 317 432 -27% • FMCG Others Total FMCG 5241 5160 2% ‒ Sustained co
Slide 46: ITC – A Global Exemplar in Sustainability
ITC – A Global Exemplar in Sustainability | 46 |
Slide 47: Impactful Social Performance
Impactful Social Performance Natural Resources On-farm livelihood Off-farm livelihood ITC e-Choupal diversification – Livestock Climate Smart Agriculture^ Management – Water diversification – Afforestation 4 Million Farmers Development Over 25.6 lac acres covered Stewardship Over 12.8 lac acres Over
Slide 48: 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 49: Sustainability – Highlights
Sustainability – Highlights • Comprehensive policies & guidelines institutionalised • 9 ITC Units have received AWS (Alliance for Water Stewardship) Platinum certification till date • 50% energy from renewable sources achieved for the first time, well ahead of 2030 target • Plastic Neutrality commit
Slide 50: ITC Infotech
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Slide 51: ITC Infotech
ITC Infotech Customer Centricity | Employee Centricity | Operational Excellence Rs. cr. Rs. cr. Revenue Adj. EBITDA YTD Dec YoY +16% 330 0 570 300 0 520 470 270 0 420 550 240 0 2737 3097 370 475 210 0 320 YTD Dec'23 YTD Dec'24 YTD Dec'23 YTD Dec'24 • Broad based growth; Healthy Total Contract Value
Slide 52: ITC: Enduring Value
ITC: Enduring Value A passion for in a way that is and Profitable growth... Sustainable… Inclusive. | 52 |
Slide 53: 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