4 Ceylon Tobacco Company

VIEWS (2092)

Ceylon Tobacco Company (CTC) is ranked at number four this year. CTC continues to be one of the largest contributors to State revenue with a contribution of 71,200 million rupees during the previous year. While total revenue was 82,770 million rupees, PAT was 8,177 million rupees (in 2011 PAT was 6,571 million rupees). These results were achieved amidst global uncertainty, rising energy costs, drought and domestic economic pressures. 

Though volumes declined by 4.3 percent, exports rose by 190 percent with a value of 128 million rupees. CTC introduced a new variant to the market, which was the first of its nature in the South Asian region, and it delivered very good results. This strategy enabled the company to grow while enhancing brand equity. Cost of production was reduced by increasing productivity. 

CTC continued its expansion to rural areas as well as the Northern and Eastern provinces. Distribution of CTC’s premier brand was improved by 46 percent. Furthermore, considering the market conditions, the company ensured that the brands and portfolio remain consumer relevant. 

Sustainability and corporate social responsibility are essential components of CTC’s growth strategy. As such moving forward it will be essential for the company to continue to meet the increasing expectations
of the Sri Lankan public.