MAM
ITC posts strong half-year performance with 11 per cent revenue growth
Mumbai: In a period marked by economic challenges and shifting market dynamics, ITC Ltd has achieved a robust financial performance in the half-year ending September 2024, showcasing notable growth across its diverse business segments. With an 11.6 per cent year-on-year increase in gross revenue, ITC reached Rs 42,311 crore, up from Rs 37,910 crore in the same period last year, cementing its leadership in the FMCG sector and expanding its footprint in hospitality, agriculture, and packaging.
The FMCG segment, particularly cigarettes, remains a pivotal component of ITC’s portfolio. Cigarette revenue for the six-month period reached Rs 16,095 crore, an increase of 6.4 per cent from last year. Cigarette segment profit grew to Rs 10,497 crore, reflecting strategic cost efficiencies despite ongoing regulatory pressures. Meanwhile, FMCG–others, which includes packaged foods, personal care products, and education stationery, grew to Rs 11,085 crore, representing a 6 per cent increase from the prior year.
ITC’s hotels division experienced a significant recovery, with revenues rising to Rs 1,393 crore for the first half of FY2025—a 21 per cent increase compared to Rs 1,150 crore in the previous year. This rebound was fueled by higher occupancy rates and improved average room rates across ITC’s properties, especially in metropolitan cities.
The Agri-business segment saw a remarkable revenue increase of 33 per cent year-on-year, reaching Rs 12,754 crore. The growth reflects increased demand for ITC’s agricultural products, including wheat, rice, and coffee, as well as the company’s efforts in optimising logistics and market penetration. Paperboards, Paper & Packaging contributed Rs 4,091 crore to total revenues, highlighting ITC’s strength in sustainable packaging solutions, though growth was more modest at 2.5 per cent.
For the half-year, ITC’s profit before tax rose to Rs 13,305 crore, up by 8.6 per cent year-on-year. Net profit after tax stood at Rs 10,084 crore, marking a 7.8 per cent increase over the previous period’s Rs 9,283 crore. Operating profit margins were supported by cost containment and efficiency initiatives, alongside incremental gains in product mix.
Cash flow from operations remained solid, with ITC generating Rs 7,963 crore in cash from operations after tax. This strong cash flow enabled the company to continue investing in brand building, capital expenditure, and acquisitions, solidifying its multi-business structure.
In the latest quarter, ITC further diversified its portfolio by acquiring a 47.5 per cent stake in Sproutlife Foods Private Ltd. The acquisition underscores ITC’s commitment to expanding its footprint in health-focused foods, aligning with consumer trends towards health-conscious products. Additionally, ITC consolidated its holdings in EIH Limited, a prominent hospitality player, to 16.13 per cent, enhancing its position in the luxury hospitality market.
ITC continues to lead in sustainability, with a focus on renewable energy, waste reduction, and water conservation. In its paper and packaging segment, ITC has invested in biodegradable solutions that meet both commercial and environmental goals. The company’s sustainability initiatives not only enhance its corporate image but also align with global and domestic regulatory shifts towards environmental accountability.
While ITC’s recent performance highlights resilience and effective strategy execution, the company remains vigilant of regulatory changes, especially in the tobacco sector. ITC’s balanced portfolio and strong cash position provide a foundation to navigate potential challenges while investing in high-growth areas, such as digital and e-commerce.
AD Agencies
Abhay Duggal joins JioStar as director of Hindi GEC ad sales
The streaming giant brings in a seasoned revenue hand as the battle for Hindi television advertising heats up
MUMBAI: Abhay Duggal has a new desk, and JioStar has a new weapon. The media and entertainment veteran has joined JioStar as director of entertainment ad sales for Hindi general entertainment channels, adding 17 years of hard-won revenue experience to one of India’s most powerful broadcasting operations.
Duggal is no stranger to big portfolios or bruising markets. Before joining JioStar, he spent a brief stint at Republic World as deputy general manager and north regional head for ad sales. Before that, he put in three years at Enterr10 Television, where he ran the north region for Dangal TV and Dangal 2, two of India’s leading free-to-air Hindi channels. The north alone accounted for more than 50 per cent of total channel revenue on his watch, a number that tends to get attention in any sales meeting.
His longest stint was at Zee Entertainment Enterprises, where he spent over six years rising to associate director of sales. There he commanded the Hindi movies cluster across seven channels, owned more than half of north India’s revenue across flagship properties including Zee TV and &TV, and closed marquee sponsorships across the Indian Premier League, Zee Rishtey Awards and Dance India Dance. He also handled monetisation for the English movies and entertainment cluster and the global news channel WION, a portfolio that would stretch most sales teams twice his size.
Earlier in his career Duggal closed what was then a Rs 3 crore single deal at Reliance Broadcast Network, one of the largest in Indian radio at the time, before that he helped launch and monetise JAINHITS, India’s first HITS-based cable and satellite platform.
His edge, by his own account, lies in marrying data and instinct: translating audience trends, inventory signals and client demands into long-term partnerships built on cost-per-rating-point discipline rather than short-term deal chasing. In a media landscape being reshaped by streaming, fragmented attention and AI-driven advertising, that kind of rigour is increasingly rare and increasingly valuable.
JioStar, which blends the scale of Reliance’s Jio platform with the content firepower of Star, is doubling down on its advertising business at precisely the moment the Hindi GEC market is getting more competitive. Bringing in someone who has spent nearly two decades doing exactly this, across some of India’s most watched channels, is a pointed statement of intent. Duggal has spent his career turning audiences into revenue. JioStar is clearly betting he can do it again, and bigger.
