FMCG BUSINESS TO BE IN FOCUS IN BRINGING OPPORTUNITY

“The growth driver for the company has to be your FMCG business and the second one could be the IT services,” says Amnish Aggarwal, Prabhudas Lilladher.

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What do you make of the ITC management’s AGM commentary that is going on? What could be their next strategy and growth in terms of the plans ahead? What is your analysis on the same? The main thing is that if you look at ITC as a company, then now with hotels being demerged from the company, you basically have got four divisions. Now, the cash cow for this company has been cigarette, but inherently cigarette is not, you can say, or tobacco is not the business which can grow... in double digits or which can be a big-big driver in the long term. So, the growth driver for the company has to be your FMCG business and the second one could be the IT services. So, I think these are the two big drivers where the size in terms of the opportunity, in terms of the top line which they are driving today and during the next 5-10 years can be materially different from what it has been in the past. For example, you look at FMCG, they entered, and say, maybe 20-25 years back and already they are number two in the country. So, these are, I think, the two industries where the focus would be in the long term to grow and to create shareholder value as well as profitability for the company. As we