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Kewal Kiran Clothing aims to gross Rs 10bn by 2016
Feb '12
Kewal Kiran Clothing Limited (KKCL), the highly reckoned apparel brand factory in India that provides livelihood to over 1800 employees, is aiming to earn revenues of Rs. 10 billion by 2016.

In 2010-11, KKCL's turnover was Rs. 2.34 billion. In the first 9 months of current fiscal, the company has recorded an increase of 30 percent in its revenue.

Speaking to fibre2fashion, Mr. Kewalchand P. Jain, CMD of KKCL, said, “We are targeting revenues of Rs. 10 billion by March 2016.”

Giving reasons for setting such a high target, he says, “We are into branded apparels and today's youth prefer branded clothing. In fact, buying has increased with changing fashions. Secondly, unorganized sector is gradually being transformed into organized sector. In the scenario, we plan to take advantage and capture the market share. Finally, KKCL has sufficient stocks to be able to meet the market demand.”

However, there might be some hurdles in achieving the set target. “We are now sourcing garments, and very little is done in-house. So, in a way, we are dependent on others to be able to meet the demand.”

Apprising about factors that have dampened KKCL's profitability growth lately, he says, “Material costs have increased and so have the prices of gas, fuel and electricity, due to which cost of production has increased. Secondly, lifestyle accessories marketed under 'Addiction' is at promotional stage, so we have not been able to benefit from its realization. Lastly, months of November and December witnessed lack of enthusiasm and hence, sales remained flat during the two-month period.”

Fibre2fashion News Desk - India

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