Company Snapshot : ITC

  • Jul 18th, 2017

 1.About the Company:


ITC limited is an Indian multi-business conglomerate which operates in Fast Moving Consumable Goods, Cigarettes, Paperboards, Hotels, Paper & Packaging, Information Technology and Agri Business. The diverse business operations of ITC makes this company to be present across all the 3 major sectors of the Indian economy, i.e. Agriculture, Manufacturing and Services. ITC limited was started in 1910 as a Tobacco company which later diversified into a pool of other products. It is the market leader in cigarettes in India, which is the 4th largest illegal cigarettes market in the world. Where legal cigarettes accounts for only 11% of total tobacco consumption in India, ITC captured this 11% legal market with 81% market share (as of 31st March 2017).

ITC is India’s one of the leading company in the agricultural sector and one of the largest exporters of agri commodities. With the Initiative of E-Choupal, to engage with the farmers directly across the country to enhance productivity, ITC has given a global model for the farmer empowerment and enhance their living standard. E-Choupal programme helped ITC to linked over 35000 villages through 6100 around e-Choupals servicing more than 4 million farmers, leveraging the critical agriculture market of India and raised the farm incomes, improve the quality of life of the rural population and transforming village ecosystems.


  • 1910 -  In August 1910, ITC was incorporated under the name as “ Imperial Tobacco Company of India Limited”.
  • 1925 - Packaging & Printing Business of ITC was set up.
  • 1926 - Purchased a plot of land for Rs. 3,10,000 in kolkata, where the company’s Headquarter building,’Virginia House’ stands.
  • 1954 - On 27th October, it was converted into a public limited company.
  • 1970 - Company’s name changed from Imperial Tobacco Company of India Limited to “India Tobacco Company Limited”
  • 1974 - Once again the name of the company was changed from “India Tobacco Company Limited” to “I.T.C Limited”
  • 1975 - Launching of Hotels business by ITC  with the acquisition of a hotel in Chennai which was named as  'ITC-Welcomgroup Hotel Chola', and later renamed as “My Fortune”, Chennai.
  • 1979 - ITC launched its Paperboards business by promoting and later acquiring Bhadrachalam Paperboards Limited.
  • 1985 -  ITC set up Surya Tobacco Co. in Nepal as an Indo-Nepal and British joint venture. Surya Tobacco became a subsidiary of ITC Limited in August 2002,  and renamed as Surya Nepal Private Limited (Surya Nepal).
  • 1990 - For export of Agri-Commodities, ITC had set up Agri Business Division which is now the India’s largest exporter of agriculture commodity.
  • 2000 - E-Choupal initiative began in Madhya Pradesh initially with Soya farmers. ITC also introduced its Lifestyle retailing arm with “Wills Lifestyle” . In the same year,ITC spun off its information technology business into a wholly owned subsidiary, ITC Infotech India Limited.
  • 2001 -  Introduction of 'Kitchens of India' ready-to-eat Indian gourmet dishes. ITC entered the confectionery and staples segments with  brands mint-o and Candyman and Aashirvaad atta (wheat flour)
  • 2002 - Introduced safety matches brands like iKno, Aim.
  • 2003 - ITC entered into the marketing of Mangaldeep Agarbattis (incense sticks)
  • 2005 - Entered into Personal Care Business.
  • 2010 - Introduced hand rolled cigar, Armenteros.


ITC Operations

                                                          (Source: ITC Annual Report 2016-17)


4.Leadership Teams:

  • Chairman & Non-Executive Director - Yogesh Chander Deveshwar
  • CEO & Executive Director - Sanjiv Puri
  • CFO & Executive Director - Rajiv Tandon
  • Executive Director - Nakul Anand

5.Number of Employees:

The total number of employees as on 31st March, 2017 stood at 25,883.

6.Product and services:


6.1.1 Cigarettes & Cigars - ITC is the market leader in cigarettes in India. With the wide range of products and brands in this category, every segment of this market is lead by ITC brands only. ITC's portfolio of brands includes Insignia, India Kings, Lucky Strike, Classic, Gold Flake, Navy Cut, Players, Scissors, Capstan, Berkeley, Bristol, Flake, Silk Cut, Duke & Royal. This portion of ITC's business contributes more than 60% of total revenue from FMCG segment of ITC.

6.1.2 Foods - ITC's Branded Packaged Foods business is one of the fastest growing foods businesses in India. From 2016-17 annual report, ITC’s packaged food business revenue increased to Rs 8,036.4 crore from Rs 7,097.5 crore.The popular food brands of ITC are-

ITC Food Products

  • Some important facts and figures from the FY 2017 data on Food segment of ITC limited.

FY 2017 data on Food segment of ITC limited

                                                          **(Source: ITC Annual Report 2016-17)

6.1.3 Personal Care - ITC entered into this segment in July 2005 and within very short span of time ITC launched an array of brands which become very popular in various segments of Indian population as each brand offers a unique and a superior value experience  discerning consumers.

ITC Brands

6.1.4 Education and Stationery - ITC entered into education and stationery business in 2002  with its Paperkraft brand in the premium segment, and later added one more brand in this segment in 2003, Classmate. Classmate became the largest Notebook brand in the country in 2007 with around 20%market share in this segment.

Stationery Brands ITC

6.1.5 Lifestyle Retailing - ITC's Lifestyle Retailing Business present in the market through brands called "Wills Lifestyle" & "John Players". Wills Lifestyle focused on the premium fashion segment of wardrobe for men and women whereas John Players delivers playful, fashionable and cool smart formals, trendy casuals, edgy denims & accessories with focused on the modern youth. Wills Lifestyle is operating with 400 outlets across 56 cities including six exclusive boutique stores across ITC Hotels while John Players operates with over 350 exclusive stores and 750 outlets as of  31st March 2017

Lifestyle Retailing Brands of ITC

6.1.6 Safety Matches and Agarbattis  - ITC's range of Safety Matches and agarbattis  includes popular brands like Aim & i Kno and Mangaldeep agarbattis.

6.2 Hotels - ITC Hotels is  known as the world’s greenest luxury hotel chain and is one of the the  fastest growing hospitality chains in India . As of 31st March 2017, ITC’s hospitality business handles 101 properties across 73 locations in the country  includeing 20 Five-Star Deluxe/ Five-Star Properties with over 4400 rooms under ITC hotel and WelcomHotel segment. The four distinct brands of ITC hotels are-

  • ITC Hotel-the Luxury segment
  • WelcomHotel- the Upper-Upscale segment,
  • Fortune -  the Mid-market to Upscale space. (46 Properties with 3700 rooms)
  • WelcomHeritage - the Leisure & Heritage segment.(35 Properties with 750 rooms)

6.3 Paperboards & Speciality Papers: ITC's Paperboards and Specialty Papers Division is India's largest, advanced technology based and eco-friendly, paper and paperboards business. It is market leader in the value-added paperboards segment, and have a significant market share in fine papers market. Paperboards & Speciality Papers division (PSPD) is the largest exporter in "of coated boards" from India from several years.

6.4 Packaging: ITC's Packaging & Printing Business is one of the largest converter of paperboard packaging in South Asia. This arm of ITC use to converts around 70,000 tonnes of paper, paperboard and laminates yearly into a variety packaging solutions for the food & beverage, cigarette, liquor, personal products, and FMCG sector.

6.5 Agri Business: ITC is one of India's leading corporates in the agricultural sector and among the largest exporter of agricultural products.With the initiative of E-Choupal, an IT based model to tackle with many agricultural problem, ITC has linked the traditionally handled agricultural segment with Information Technology. ITC's Agriculture Business Division stands at 2nd position for country's  largest exporter of agri-products in 2016-17 and it mainly  focuses on exports and domestic trading of:

  • Feed Ingredients - Soyameal
  • Food Grains - Wheat & Wheat Flour, Rice, Pulses, Barley & Maize
  • Marine Products - Shrimps and Prawns
  • Processed Fruits - Fruit Purees/Concentrates, IQF/Frozen Fruits, Organic Fruit Products
  • Coffee

6.6 Information Technology: ITC is in the field of IT with its subsidiary “ITC Infotech” which specialises in providing  full services on technology solutions globally, led by Business and Technology Consulting. With the changing and advanced technology day by day , ITC realized that their is a huge  potential to explore in this field and thus ITC infotech introduced the concept of ‘Digitaligence@work’ aimed to enhance the customer experience and serve a differentiated service experience to the existing business processes. Supply Chain based Industries like CPG, Retail, Manufacturing, Hi-Tech or Services Industries like Banking, Financial Services and Insurance, Airline, Hospitality are the prime focussed area of ITC Infotech.            

7. Revenue & Profits (Consolidated in Rs. Cr.):

Particular / Year Mar '2017 Mar '2016 Mar '2015 Mar '2014 Mar '2013
Sales Revenue 55,731.52 55,050.80 53,160.58 49,579.66 44,224.85
Net Profit 10,471.26 10,061.22 9765.63 8990.62 7693.58

Turnover ITC

** Standalone Turnover and Profit as on 31st March 2017. (Source: ITC Annual Report 2016-17)

7.1Turnover by Products/Services as a Percentage of total.(as on 31st March 2017):

Name and Decription of main
Products / Services
Gross Turnover as a % of total turnover
Gross Turnover as a % of total turnover
-Cigarettes etc
-Branded Packaged Food Products
-Others ( Apparel, Educatio and Stationary products, Personal care products, safet matches,Agarbattis)
Agri Business ( Wheat, Soya, Spices, Coffee, Unmanufactured Tobacco etc.)
Paperboards, Paper & Packaging
-Paperboards and Paper
-Printed Material


  • ITC Infotech: It is a technology solutions provider, led by Business and Technology Consulting. ITC Infotech deliver services to enterprises in Supply Chain based industries like CPG, Retail, Manufacturing, Media & Technology and Services like Banking, Financial Services and Insurance, Airline, Hospitality.
  • Surya Nepal Private Limited: Surya Nepal Private Limited (SNPL), an Indo-Nepal-UK joint venture is a subsidiary of ITC Ltd, India. It is the largest private sector enterprise in Nepal. The balance shares are held by dispersed Nepalese shareholders and British American Tobacco, UK. It currently deal with Cigarettes, Safety Matches and Readymade Garments in Nepal
  • Landbase India Limited: It is a subsidiary of ITC, which owns the Classic Golf & Country Club in the outskirts of Delhi. It is also the promoter of the “Laburnum” in Gurgaon.
  • Russell Credit Limited: A 100% subsidiary of ITC Limited, it is an Investment Company focused on long-term investments in areas of strategic thrust, namely FMCG, Hotels & Tourism, Paper, Paperboards & Packaging Agri Business and Information Technology.
  • Srinivasa Resorts Limited: An subsidiary of ITC Limited with 68% stake in the Company. Srinivasa owns the "ITC Kakatiya" at Hyderabad, which is operated by ITC Limited, with focus on hygiene, safety and environment.
  • Fortune Park Hotels Limited: It is a subsidiary of ITC Ltd. set up in 1995. With 47 operating hotels, focused on the mid-priced market segment, it is the Professional Hotel Management arm of ITC Limited.
  • WelcomHotels Lanka (Private) Limited, Sri Lanka: A wholly-owned subsidiary of ITC Ltd., it was incorporated in Sri Lanka with an objective of development of new project of constructing, building and operating of luxury hotel at Colombo.

9. Shareholding Pattern(as on 31st March 2017):

Sharing Holding ITC

                                                          (Source: ITC Annual Report 2016-17)

10. Mergers & Acquisitions:

  • In March 2016, ITC Ltd. acquired Technico Agri Sciences Ltd, the wholly owned Indian subsidiary of Australia-based Technico Pty Limited for  Rs. 121 crore (US$18.10 million).
  • In February 2015,  ITC Limited acquired 250 room Park Hyatt Hotel located in Goa for Rs. 515.44 Cr.
  • In February 2015, ITC Ltd. acquired  the India business of Savlon and Shower to Shower from Johnson & Johnson (J&J) in an undisclosed amount deal

11. Operational Joint Ventures:

  • Maharaja Heritage Resorts Ltd.: It is a 50:50 joint venture between ITC limited and Jodhana Heritage Resorts Private Limited.
  • ITC Essentra Limited: It is a 50:50 joint venture between Gold Flake Corporation Limited (100% subsidiary of ITC Limited) and Essentra Filter Products International Limited, U.K. (world leader in filter design and development)

12. Listed Associate Companies:

  • Gujarat Hotels Limited: ITC own 45.78% share of Gujarat Hotels Limited which owns the “WelcomHotel Vadodara" operated by ITC Limited.
  • International House Limited: The first listed travel company in India, ITH is a travel management organisation which include corporate travel, air ticketing, car rental, foreign exchange etc.

13. Awards:      

  • In 2017, ITC Limited awarded with the ‘Best Corporate Initiative in Swachh Bharat Abhiyan’ and ‘Best Outreach Strategy in Waste Management’ by ASSOCHAM Waste Management Excellence Awards.     
  • In 2016, ITC Limited was awarded with "India Today Safai Giri Corporate Trailblazer Award". ITC was the 1st company to win this award.    
  • In 2016, ITC was recognized as the ‘Best in Supply Chain Sustainability’ at the Asian Corporate Sustainability Summit.     
  • In 2016, ITC’s Paperboards Unit in Bhadrachalam received the "CII GreenCo Platinum" Rating and it was the first integrated Pulp and Paper unit to receive such ratings.
  • In 2016, ITC’s Sankhya Data Centre, Bengaluru became the first data centre in the world to get LEED® Platinum Certification from the US Green Building Council.
  • In 2014, a survey conducted by Fortune India magazine and Hay Group in which ITC was ranked as ‘India’s Most Admired Company.
  • In 2013, ITC Chairman Mr Y C Deveshwar ranked as the 7th Best Performing CEO in the World by Harvard Business January-February 2013 edition and the Most Valuable CEOs of India by Businessworld.             
  • In 2007, ITC was awarded with the National Award for “Excellence in Corporate Governance” by the Institute of Company Secretaries of India.
  • In 2005, ITC initiative, E-Choupal won  the Development Gateway Award and it was the 1st Indian Company and 2nd in the world to win the same.

14. News:

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