'ITC Next' lays out blueprint for profitable growth amid global uncertainty

In line with its expansion strategy, ITC inaugurated five state-of-the-art factories and a luxury hotel.

Pritha Pahari

August 17, 2023 / 11:08 IST

ITC 112th AGM

The 'ITC Next' strategy - aimed to build a future-ready portfolio - will help prepare the FMCG giant for greater competitiveness and profitability in times of global uncertainty, said Sanjiv Puri, Chairman and Managing Director at the company’s 112th AGM.

“We recognise that this journey will be traversed in an era of unprecedented uncertainties, making it mission critical to be extremely agile, consumer-centric, competitive and resilient.” he said.

Puri said that ITC has seen a commendable surge in its gross revenue by 18 percent in FY23. Its earnings before interest, taxes, depreciation, and amortisation (EBIDTA) grew over 26 percent, with non-cigarette EBIDTA witnessing a sharp increase of 43 percent, reflecting strong growth across all business segments.

The non-cigarette business of ITC now accounts for 67 percent of the revenue, contributing to 28 percent of segment EBIDTA. From FY17 to FY23, the cigarettes-to-hotels conglomerate recorded a turnover growth of 1.8 times, while its EBIDTA margins expanded significantly by 770 basis points.

On the global front, since FY17, ITC's export earnings have exceeded $5 billion. Agricultural products, bridging Indian farmers with the international market, comprise over 60 percent of these earnings. Testament to their global reach, ITC’s FMCG brands are now available in over 100 countries.