All Rights Reserved Finance News 2020.
Asian Granito aims Rs a couple of,000 cr revenue in next 2-3 years
New Delhi: Ceramic items maker Asian Granito Indian Ltd aims to time Rs 2,000 crore revenue in the next two to three years, helped by means of expansion of sales networking in the domestic market and exports, according to a top-notch company official.
Though the business is anticipating “temporary learning curves due to COVID-19 in often the short term”, it is self-confident of bouncing back upon its advancement path in the long term with its focused growth strategy.
Asian Granito Indian Ltd (AGIL) expects that will demand from real estate industry could take a little longer to get better but growth in the actual fiscal could be driven by means of demand from the retail industry, especially from rural, tier-II and even semi-urban areas, and exports.
“For FY 2019-20, the company reported revenues involving Rs 1,224 crore with a net profit with Rs 41.9 crore. In the next two to three years, the company has set some sort of target to increase its touchpoints to over 10,000, broaden the network of unique showrooms to over 500 and even achieve the revenue concentrate on of Rs 2,000 crore,” AGIL Exec Director Prafulla Gattani explained to PTI.
According to the Gujarat-based company, demand from metros and other major cities, which will consists of a bulk of premium items, has taken a hit due to the coronavirus pandemic.
However, semi-urban and even rural markets have retrieved quickly and demand is just around the corner from these areas.
“Green locations are visible in require especially from the rural and even semi-urban areas and we believe demand from these segments will probably improve further from the current quantities,” he said.
There is a new demand pattern emerging from the rural market as migration of labourers from urban areas resulted in the need for home repairs and even renovation.
“We have seen that budget and financial tiles have seen good require with construction and fix activity taking full rate in the rural market,” Gattani said.
AGIL, with a retail presence with 300 plus exclusive showrooms plus much more than 6,500 touchpoints, plans to expand all of them further.
“The company strategies to increase its retail touchpoints to over 10,000, Special showrooms to 500 as well as,” he said.
It is also investing on the online side and has converted plenty of physical activities into digital function. This is in addition to classic methods of communication, sample supply, approval and showcasing items.
“We are also investing seriously on future e-commerce and even digitisation of the company,” Gattani said, adding that this has helped in decreasing the total cost of sales and even branding.
AGIL, one of the biggest exporters among organised gamers, plans to expand export products to help over 100 countries.
“The company currently exports to 78 countries and is going to expand the network to help 100 countries in the actual fiscal,” he extra.
In FY 2019-20, AGIL’s export revenue was about Rs 170 crore, Gattani said, adding that it is trying to double often the same in the next two to three years.
When asked about future investments, he / she said,”there is no key capex planned in current capacity but for future advancement, we plan to make a need-based investment in coming next three to four years”.
“Marble and even quartz stone segment is amongst the top focus areas for your company and over 80 percent of the products is released. We are looking to expand the ability and also installing a high end robotic plant for developing Carrara and Calacatta Quartz stone in the near future,” he said.
The firm expects the quartz rock and marble segment to possess Rs 500 crore return in the next 2 to 3 years, he added.