Press Esc to close
Wednesday 01 October 2014
News updated at 7:38 PM IST
Weather
Max: 29.3°C
Min : 21.4°C
In Bangalore
Sunny day

Raymond optimistic about retail growth

S V Krishnamachari, Hrithik Kiran Bagade, Bangalore, Nov 24, 2012, DHNS :

The subdued consumer sentiment notwithstanding, fabric and apparel company Raymond is optimistic of growth in its textiles and apparel business, and is firm on opening more stores this fiscal and over the next two years.

A senior executive at Raymond said expansion plans chalked out two years ago are firmly on course. “We have already opened 250 stores in the previous two years and will be opening another 250 in the coming two years.

In a full year, each store on an average contributes about Rs 60 lakh revenues,” said the company's President (Retail & Business Development) Rakesh Pandey.

The company opened 70 stores in the first six months this year including 42 in the second quarter and plans to add another 30 in the second half this fiscal, including made-to-measure format stores.


On demand pickup during the ongoing festive season, he said that pre-Diwali sales growth was about 10-15 per cent compared to last Diwali, as against the expected 20 per cent. “The impact of cyclone ‘Nilam’ led to diminished footfalls and impacted sales in the south.”

Raymond wrote off apparel inventory worth Rs 5 crore last quarter, according to a presentation made to analysts in October.

Its like-to-like sales turned positive in the second quarter with a 3 per cent growth compared to minus 3 per cent in the first quarter. “We see growth trending at about 7 per cent for the full year.” The company’s apparel brands include ColorPlus, Park Avenue and Parx.

The company posted consolidated revenues of Rs 1,115 crore for the quarter ended September 30, 2012, compared to Rs 982 crore in the same period last year. Net profit was down 38 per cent to Rs 50 crore, compared to Rs 80 crore on a year-on-year basis.

The company said it will spend Rs 13 crore on VRS for its employees in the third quarter, apart from Rs 32 crore spent in the first six months this fiscal, as part of its effort to improve operational efficiencies.

Go to Top

Photo Gallery
Nokia India Sales Marketing Director Raghuvesh Swarup launches the new Nokia Lumia ...

Nokia India Sales Marketing Director Raghuvesh Swarup launches the new Nokia Lumia ...

India's Mary Kom is lifted by her coach after she won the gold in women's flyweight boxing ...

India's Mary Kom is lifted by her coach after she won the gold in women's flyweight boxing ...

Bollywood actress Sushmita Sen attends the Durga Puja celebrations in Mumbai ...

Bollywood actress Sushmita Sen attends the Durga Puja celebrations in Mumbai ...

A huge statue of Mahatma Gandhi in Bengaluru a day before its inauguration ...

A huge statue of Mahatma Gandhi in Bengaluru a day before its inauguration ...

Silver medal winner India's Tintu Luka poses at the podium during the medal ceremony ...

Silver medal winner India's Tintu Luka poses at the podium during the medal ceremony ...

Boxer Mary Kom kisses shares a moment with her kid after winning the gold medal ...

Boxer Mary Kom kisses shares a moment with her kid after winning the gold medal ...

Damaged coaches after Krishak Express and Barauni Express collided near Gorakhpur ...

Damaged coaches after Krishak Express and Barauni Express collided near Gorakhpur ...

India's boxer Sarita cries at the podium after refusing to accept the bronze medal ...

India's boxer Sarita cries at the podium after refusing to accept the bronze medal ...

People look at the damaged coaches after Krishak Express and Barauni Express collided ...

People look at the damaged coaches after Krishak Express and Barauni Express collided ...

Indian tennis legend and global ambassador of the sport, Vijay Amritraj addressing during ...

Indian tennis legend and global ambassador of the sport, Vijay Amritraj addressing during ...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bangalore - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523