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Time of India
5 days ago
- Business
- Time of India
ITC's eco push: Sustainable plastic alternatives soar 2.4 times in 3 years
Live Events Diversified conglomerate ITC Ltd is making significant strides in its sustainable materials and packaging capabilities, underscoring its focus on organic growth and long-term innovation, according to B. Sumant, Executive Director of ITC Ltd. In an interaction with, Sumant talks about the company's expansion plans, supply chain resilience, investments in advanced R&D and digital technologies, and more. Edited excerpts:ITC's paperboards and specialty paper division (PSPD) is a market leader in the value-added paperboard segment. It has sustained its leadership position over the years through focused innovations, the development of customised solutions for end-user industries, and capacity augmentation. It has leveraged its integrated business model and pioneering work in adopting Industry 4.0 ITC's packaging & printing business is one of the largest value-added converters of paperboard packaging in South Asia. It converts over 100,000 tonnes of paper, paperboard, and laminates per annum into a variety of value-added packaging solutions for the food and beverage, personal & home care products, quick service restaurants, and consumer goods part of the ITC Next Strategy, new vectors of growth are being nurtured at the convergence of mega trends in digital and sustainability , harnessing ITC's enterprise strengths. This includes developing alternative solutions to single-use plastic and addressing the growing demand for eco-friendly packaging. Between FY22 and FY25, ITC's sustainable products portfolio for plastic substitution grew 2.4 times, underscoring a decisive market shift toward responsible paperboards and packaging businesses are at the forefront of sustainable plastic substitution innovation, offering a robust portfolio of solutions that are replacing single-use plastics at scale. Among ITC's flagship offerings is the Filo Series—a versatile range of recyclable, industrially compostable, soil biodegradable, barrier-coated paperboards including FiloPack, FiloServe, FiloTub , FiloBev, and FiloBowl — designed for food service, delivery, and on-the-go consumption applications. The Filo Series products are also PFAS-free (forever chemicals).The company's innovation pipeline also encompasses FiloBev Mini—designed for on-the-go quick consumption of hot beverages; WrapWell—a recyclable food-grade paper replacing aluminium foil; BioSeal—a compostable, oil- and grease-resistant coating to replace plastics; and 'Germ-free coating'—a solution for microbial-free packaging surfaces addressing the consumer consciousness towards hygiene and safety. Similarly, there are many other innovative adopts a differentiated, insight-led approach to sustainable packaging, grounded in design thinking, scientific rigour, and deep supply chain understanding. Recognising that each distribution channel, whether e-commerce, quick-commerce, or modern trade, demands distinct packaging attributes, ITC develops bespoke solutions that balance performance, aesthetics, and environmental with QSRs and DTH providers have resulted in the introduction of compostable solutions and recycled fibre moulds that replace disposable plastic. This tailored, channel-specific strategy enables ITC to deliver packaging that meets diverse operational and consumer needs while advancing the broader sustainability integrated strategy focuses on large-scale and impactful community-based waste management programmes as well as investments in cutting-edge sustainable innovations, anchored on a robust three-pronged framework of 'No plastic, Better Plastic and Less Plastic.' This innovative approach not only encourages ITC to continuously improve recyclability and optimise packaging across its own world-class FMCG brands but also enables it to offer a bouquet of sustainable packaging solutions for a range of consumer industries, replacing plastic with biodegradable materials designed for recycling.'No Plastic' packaging innovations in ITC's own FMCG business include the Aashirvaad Khapli Atta pack, which features an eco-friendly dual-layer 'bag in bag' design. In another example, the Sunfeast Farmlite Core Digestive large pack was launched in a 100% paper outer some of the recent 'Less Plastic' initiatives among ITC FMCG brands include design optimisation undertaken for the packaging of Engage deodorant spray cans, which resulted in a reduction of 31% in packaging total capacity of ITC's Paperboards & Specialty Paper Business is over 9.8 lakh MT/year at present, of which, the capacity of its value-added paperboard portfolio is 6.6 lakh MT/ ensures cost-effectiveness in sustainable packaging through a holistic, integrated value chain approach that spans innovation, manufacturing efficiency, and value chain security. The company follows design-to-cost principles to develop scalable, high-performing solutions that are both sustainable and efficiencies are achieved with Industry 4.0 technologies, automation, and data-driven manufacturing processes, supported by lean manufacturing and TPM methodologies. At the supply end, ITC is strengthening domestic fibre value chains by expanding plantations and fibre catchments to secure competitive raw material is central to ITC's sustainable solutions strategy. ITC provides a diverse range of sustainable packaging solutions and environmentally friendly alternatives to single-use plastics for a range of industries by leveraging the synergies between its Paperboards & packaging businesses and the research expertise in material sciences at ITC Life Sciences and Technology Centre. These collaborative efforts ensure that each solution delivers both sustainability and high performance, enabling ITC to stay ahead of the evolving is actively scaling up its capabilities in sustainable materials and packaging, driven by a strong commitment to organic growth and long-term innovation. The company is expanding its manufacturing footprint, strengthening supply chain resilience, and investing heavily in advanced R&D and Digitech to meet rising demand for environmentally friendly solutions.
Economic Times
5 days ago
- Business
- Economic Times
ITC's eco push: Sustainable plastic alternatives soar 2.4 times in 3 years
B Sumant, Executive Director of ITC Ltd Diversified conglomerate ITC Ltd is making significant strides in its sustainable materials and packaging capabilities, underscoring its focus on organic growth and long-term innovation, according to B. Sumant, Executive Director of ITC Ltd. In an interaction with ET Digital, Sumant talks about the company's expansion plans, supply chain resilience, investments in advanced R&D and digital technologies, and more. Edited excerpts: The Economic Times (ET): How does ITC's paperboards and packaging business stand in terms of overall industry positioning? B Sumant (BS): ITC's paperboards and specialty paper division (PSPD) is a market leader in the value-added paperboard segment. It has sustained its leadership position over the years through focused innovations, the development of customised solutions for end-user industries, and capacity augmentation. It has leveraged its integrated business model and pioneering work in adopting Industry 4.0 ITC's packaging & printing business is one of the largest value-added converters of paperboard packaging in South Asia. It converts over 100,000 tonnes of paper, paperboard, and laminates per annum into a variety of value-added packaging solutions for the food and beverage, personal & home care products, quick service restaurants, and consumer goods industries. As part of the ITC Next Strategy, new vectors of growth are being nurtured at the convergence of mega trends in digital and sustainability, harnessing ITC's enterprise strengths. This includes developing alternative solutions to single-use plastic and addressing the growing demand for eco-friendly packaging. Between FY22 and FY25, ITC's sustainable products portfolio for plastic substitution grew 2.4 times, underscoring a decisive market shift toward responsible consumption. ET: ITC's paperboards and specialty papers division has been in the eco-friendly packaging space for some time now. What are the recent innovations driving sustainable transformation across industries? BS: ITC's paperboards and packaging businesses are at the forefront of sustainable plastic substitution innovation, offering a robust portfolio of solutions that are replacing single-use plastics at scale. Among ITC's flagship offerings is the Filo Series—a versatile range of recyclable, industrially compostable, soil biodegradable, barrier-coated paperboards including FiloPack, FiloServe, FiloTub, FiloBev, and FiloBowl—designed for food service, delivery, and on-the-go consumption applications. The Filo Series products are also PFAS-free (forever chemicals).The company's innovation pipeline also encompasses FiloBev Mini—designed for on-the-go quick consumption of hot beverages; WrapWell—a recyclable food-grade paper replacing aluminium foil; BioSeal—a compostable, oil- and grease-resistant coating to replace plastics; and 'Germ-free coating'—a solution for microbial-free packaging surfaces addressing the consumer consciousness towards hygiene and safety. Similarly, there are many other innovative Different supply chains, like e-commerce, demand different packaging needs. How does ITC approach this diversity in design and delivery? BS: ITC adopts a differentiated, insight-led approach to sustainable packaging, grounded in design thinking, scientific rigour, and deep supply chain understanding. Recognising that each distribution channel, whether e-commerce, quick-commerce, or modern trade, demands distinct packaging attributes, ITC develops bespoke solutions that balance performance, aesthetics, and environmental with QSRs and DTH providers have resulted in the introduction of compostable solutions and recycled fibre moulds that replace disposable plastic. This tailored, channel-specific strategy enables ITC to deliver packaging that meets diverse operational and consumer needs while advancing the broader sustainability agenda. ET: What are the biggest challenges in scaling sustainable packaging across the FMCG industry, and how is the company overcoming them? BS: ITC's integrated strategy focuses on large-scale and impactful community-based waste management programmes as well as investments in cutting-edge sustainable innovations, anchored on a robust three-pronged framework of 'No plastic, Better Plastic and Less Plastic.' This innovative approach not only encourages ITC to continuously improve recyclability and optimise packaging across its own world-class FMCG brands but also enables it to offer a bouquet of sustainable packaging solutions for a range of consumer industries, replacing plastic with biodegradable materials designed for recycling. 'No Plastic' packaging innovations in ITC's own FMCG business include the Aashirvaad Khapli Atta pack, which features an eco-friendly dual-layer 'bag in bag' design. In another example, the Sunfeast Farmlite Core Digestive large pack was launched in a 100% paper outer some of the recent 'Less Plastic' initiatives among ITC FMCG brands include design optimisation undertaken for the packaging of Engage deodorant spray cans, which resulted in a reduction of 31% in packaging weight. ET: What is the total capacity of ITC's value-added paperboards portfolio? BS: The total capacity of ITC's Paperboards & Specialty Paper Business is over 9.8 lakh MT/year at present, of which, the capacity of its value-added paperboard portfolio is 6.6 lakh MT/year. ET: How does ITC ensure cost-effectiveness in sustainable packaging? BS: ITC ensures cost-effectiveness in sustainable packaging through a holistic, integrated value chain approach that spans innovation, manufacturing efficiency, and value chain security. The company follows design-to-cost principles to develop scalable, high-performing solutions that are both sustainable and affordable. Operational efficiencies are achieved with Industry 4.0 technologies, automation, and data-driven manufacturing processes, supported by lean manufacturing and TPM methodologies. At the supply end, ITC is strengthening domestic fibre value chains by expanding plantations and fibre catchments to secure competitive raw material sourcing. ET: How is ITC leveraging innovation and R&D to develop next-generation packaging solutions? BS: Innovation is central to ITC's sustainable solutions strategy. ITC provides a diverse range of sustainable packaging solutions and environmentally friendly alternatives to single-use plastics for a range of industries by leveraging the synergies between its Paperboards & packaging businesses and the research expertise in material sciences at ITC Life Sciences and Technology Centre. These collaborative efforts ensure that each solution delivers both sustainability and high performance, enabling ITC to stay ahead of the evolving market. ET: What are ITC's future investments and expansion plans? BS: ITC is actively scaling up its capabilities in sustainable materials and packaging, driven by a strong commitment to organic growth and long-term innovation. The company is expanding its manufacturing footprint, strengthening supply chain resilience, and investing heavily in advanced R&D and Digitech to meet rising demand for environmentally friendly solutions.
Mint
01-08-2025
- Business
- Mint
ITC Q1 results: Net profit up 2%; cigarette, agri segments drive revenue
New Delhi: ITC Ltd on Friday reported a near 2% rise in its standalone June quarter profit at ₹ 4,912.36 crore, up from ₹ 4,819.93 crore a year ago, but lower than street expectations. The conglomerate's expenses during the quarter grew 12.7% to ₹ 12,872.66 crore. A poll of 17 analysts had estimated ITC to report a standalone profit of ₹ 5,080 crore for the first quarter of the fiscal year. Standalone revenue from operations grew 19.7% to ₹ 21,058.98 crore during the reporting quarter, up from ₹ 17,593.02 crore a year ago, helped by strong performance in the agri and cigarettes business. Earnings before interest, taxes, depreciation, and amortization, Ebitda, for the June quarter was ₹ 6,292.3 crore. The company's cigarette business reported a 7.7% year-on-year (y-o-y) rise in revenue and a 3.7% increase in profit before interest and taxes (PBIT), driven by interventions to counter illicit trade, though the margins were hit by high-cost leaf inventory. "Consumption of high-cost leaf inventory weighed on margins; partly mitigated through product mix enrichment and cost management intervention. Moderation in leaf tobacco procurement prices witnessed in current crop cycle.' the company said. Differentiated variants and premium segment of the cigarettes business continue to perform well, the company said. 'Market standing continues to be reinforced through strategic portfolio and market interventions with focus on competitive belts and to counter illicit trade,' the company said. During the June quarter, ITC's fast moving consumer goods business reported a 5.2% rise in revenues, led by strong performance in staples, biscuits, dairy, premium personal wash, homecare and agarbattis. The segment's Ebitda margin saw a 50 bps quarter-on-quarter improvement. Despite elevated year-on-year commodity prices for items like edible oils, wheat and cocoa, the company mitigated the impact through cost management, portfolio premiumization, and targeted pricing actions. The company said the notebooks industry continued to operate under deflationary conditions due to low-priced paper imports and witnessed opportunistic play by local competition. Meanwhile, the beverages category was hit by unseasonal rains during the quarter, it said. The company also sustained its trade and marketing investments to support growth and market standing. New age channels, including e-commerce, quick commerce and modern trade, witnessed robust growth, while the company's digital-first and organic portfolio, which includes brands like Yogabar and Mother Sparsh, achieved an annualized recurring revenue (ARR) of approximately ₹ 1,000 crore. The agri business saw a 39% rise in revenue to ₹ 9,685 crore, driven by trading in bulk commodities and leaf tobacco exports. Leaf tobacco exports also posted strong growth, and the business continued to leverage its crop development expertise, superior product quality and strong customer relationships. Lastly, the paperboards, paper and packaging segment revenue grew 7% year-on-year to ₹ 2,115.76 crore. 'The operating environment remained challenging during the quarter, with a sustained influx of low-priced supplies into global markets, including India, elevated domestic wood prices, and subdued realizations," the company said on its paper business. "The business continued to focus on accelerating plantations in core areas, developing new areas, collaborating with other wood-based industries, and implementing satellite-based plantation monitoring systems, among others.' ITC's new food-tech business, a new vector in the ITC Next strategy, is leveraging the company's strengths in food science, manufacturing and culinary expertise to tap into the fast-growing online food services market. The full-stack food-tech platform has expanded to approximately 60 cloud kitchens across five cities, with a gross merchandise value (GMV) crossing ₹ 100 crore in FY25. The company is now progressively introducing this initiative across India.
Time of India
01-08-2025
- Business
- Time of India
ITC reports marginal decline in June quarter net profit, revenue surges 19%
ITC Ltd on Friday reported a marginal decline in standalone net profit at Rs 4912.36 crore (Rs 4917.4 crore) for the first quarter ending June, while standalone revenue from operations surged by 19.7% year-on-year (yoy) at Rs 21,058.9 crore which the company attributed to the cigarette, fast moving consumer goods (FMCG) and agri businesses. The conglomerate said in its earnings release that early signs of recovery in urban demand were visible during the quarter, while rural consumption continued to demonstrate resilience. ITC said expectations of a normal monsoon and kharif crop sowing trends augur well for the rural economy. Explore courses from Top Institutes in Please select course: Select a Course Category Public Policy Operations Management Product Management Management Data Analytics PGDM MCA Technology healthcare Data Science Cybersecurity Healthcare CXO others MBA Project Management Leadership Degree Artificial Intelligence Design Thinking Digital Marketing Others Finance Data Science Skills you'll gain: Duration: 12 Months IIM Calcutta Executive Programme in Public Policy and Management Starts on undefined Get Details Skills you'll gain: Economics for Public Policy Making Quantitative Techniques Public & Project Finance Law, Health & Urban Development Policy Duration: 12 Months IIM Kozhikode Professional Certificate Programme in Public Policy Management Starts on Mar 3, 2024 Get Details The first quarter performance of ITC was largely in line with street estimates. While the results were declared after share market trading hours, the ITC scrip closed on Friday at a gain of 1.14% at Rs 416.5 per share at the BSE when the benchmark Sensex fell by 0.72%. ITC's flagship cigarette business net segment revenue went up 7.6% yoy in the second quarter at Rs 8520 crore. The country's largest cigarette manufacturer said the premium cigarette brands continue to perform well while it reinforced its market standing through market interventions with focus on competitive belts and to counter illicit trade. The cigarette business segment profit before interest and taxes (PBIT) went up by 3.7% yoy at Rs 5145.2 crore. The company said consumption of high-cost leaf tobacco inventory weighed on margins while there is a moderation in procurement prices in the current crop cycle. ITC's FMCG business net segment revenue was up by 5.2% yoy at Rs 5777 crore. The company said excluding the notebook business which continues to operate under deflationary conditions due to low-priced paper imports and stiff competition from local brands, the business grew revenue by 8.6% yoy. Categories like staples, biscuits, dairy, premium personal wash, homecare and agarbattis sales drove growth, while the beverage business was impacted by unseasonal rains. The FMCG business EBITDA (earnings before interest, taxes, depreciation and amortisation) was Rs 545.5 crore as compared to Rs 619.3 crore a year back. ITC said prices of major commodities such as edible oil, wheat, maida, cocoa and soap noodles remained elevated on a yoy basis which weighed on margins. The company's agri business segment revenue was up by 39% yoy at Rs 9685 crore driven by trading opportunities in bulk commodities and exports of leaf tobacco. The segment PBIT was up 22% yoy at Rs 433.8 crore. The paperboards, paper and packaging segment revenue was up 7% yoy at Rs 2115.7 crore driven by higher volumes, while segment PBIT declined to Rs 162.6 crore from Rs 261.3 crore a year back. ITC said muted realisations and high wood prices impacted margins. At a consolidated level, ITC's gross revenue was up by 19.5% yoy at Rs 23,129.3 crore while net profit up by 5% yoy at Rs 5343.4 crore. The company attributed this to 'strong performance' by group companies led by its IT business ITC Infotech, Surya Nepal and the hotels entity ITC Hotels Ltd .
Time of India
01-08-2025
- Business
- Time of India
ITC Q1 results: Profit at Rs 5,343 crore, revenue rises to Rs 23,129 crore amid FMCG and agri growth
Diversified conglomerate ITC Ltd on Friday reported a consolidated net profit of Rs 5,343.41 crore for the June 2025 quarter, according to a regulatory filing. The company had posted a consolidated profit of Rs 19,807.88 crore in the year-ago period, which included a one-time exceptional gain. Revenue from operations during the quarter stood at Rs 23,129.35 crore, compared to Rs 20,376.36 crore in the same quarter last year, PTI reported. ITC clarified that the results for the June quarter are not comparable with previous periods, as it had acquired 100% shareholding of Sresta Natural Bioproducts (SNBPL), owner of the 24 Mantra Organic brand, on June 13, 2025. "Accordingly, financial results of the group and 'FMCG Others' segment for the quarter ended 30th June, 2025 include those of SNBPL and its subsidiaries from 13th June, 2025 and hence are not comparable with previous periods," the company stated. Total expenses during the quarter came in at Rs 16,752.31 crore, while total income, including other income, was Rs 23,811.56 crore. The company highlighted a 'strong performance by group companies led by ITC Infotech India, Surya Nepal and ITC Hotels.' Revenue from the total FMCG business stood at Rs 15,354.30 crore, with cigarettes contributing Rs 9,553.86 crore and 'FMCG Others' — including packaged foods, dairy, beverages, chocolates, stationery, personal care and agarbattis — accounting for Rs 5,800.44 crore. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Learn More - How Donating Sperm May Boost Your Income SpellRock Undo Revenue from the agri business was Rs 9,723.84 crore, and from paperboards, paper & packaging stood at Rs 2,116.62 crore. The 'others' segment, which includes IT services, ITC Grand Central Hotel Mumbai, and FoodTech, contributed Rs 1,182.59 crore. Shares of ITC Ltd closed at Rs 416.50 on Friday, up 1.14% from the previous close. Stay informed with the latest business news, updates on bank holidays and public holidays . Discover stories of India's leading eco-innovators at Ecopreneur Honours 2025
