Very good interview, their ICML infrastructure is huge and has been built in a very thoughtful manner.
27.06.2023 ET
- 11 ICML facilities are built for economies of scale and involve high gestation costs
- The facility shown in the show shipped out 1 lakh tonnes of products last year which can be scaled to 2 lakh tonnes from existing infrastructure. They also have adjacent areas, that one facility can support 3x growth over current built up area
- These ICML facilities have in-built mandis where farmers come and sell their products directly to ITC
- All food products are manufactured in an ICML
- Large part of ICML capex is now over
- Non-cigarette sales is 66%, EBITDA is 28% and capital employed is 80%
Disclosure: Invested (position size here, sold shares in last-30 days)