Home / Knowledge / News / Textiles / Raymond looks to improve operational efficiency
Raymond looks to improve operational efficiency
Dec '13
India’s leading textile brand Raymond plans to return its sights to growth and higher profitability in the coming quarters by improving operational efficiencies and strengthen its branded textile business which constitutes nearly half of its revenues.

After focusing on product launches in the past couple of years, the company now plans to improve its operational efficiencies through better supply chain management, closure of non-performing retail stores, more exports for higher realizations in the event of rupee depreciation and leveraging its brand equity in the apparel business.

With an aim to increase its domestic as well as global retail footprint, the eight-old decade textile major plans to boost its bottom-line and ROCE by unlocking the value of its 125 acre plot in Thane.

The Thane plant was relocated to Vapi in 2006 and the company had reached VRS settlement with workers for Rs 260 crore. The company has now paid full VRS amount in two tranches and it expects to unlock the value of the plot which, according to industry experts, is worth around Rs 3,000 crore.

Raymond reported a growth of 10 per cent in net sales for the quarter ended September 2013 at Rs 1,224 crore. However, the company’s core of branded textile business grew by mere 7 per cent to Rs 559 crore in the period.

Focus on improving the operational efficiencies also comes at a time when its Denim, Cotton Shirting, and Garmenting businesses are hit by forex losses and rising input costs. EBITDA of the garment division fell 22 per cent in Jul-Sep 2013 to Rs 15 crore versus Rs 19 crore in the year ago period.

Similarly, EBITDA in the denim business fell 20 per cent at Rs 23 crore versus Rs 28 crore in the year ago period. cotton Shirting fabric business was also hit by higher input costs as EBITDA fell 21 per cent to Rs 10 crore as compared to Rs 12 crore in the year ago period.

Fibre2fashion News Desk - India

Must ReadView All

Apparel/Garments | On 5th Dec 2016

EC proposes new tax rules to support e-commerce in EU

The European Commission (EC) has unveiled a series of measures to...

Apparel/Garments | On 5th Dec 2016

Traders to intensify adoption of digital payments

Adoption of digital payments in their existing business format would...

Textiles | On 5th Dec 2016

US textile & apparel exports down 6.44% in Jan-Sept ’16

The exports of textile and apparel from United States were down 6.44...

Interviews View All

Dharmendra Shah
Ozone PB Spintex Limited

‘We have made huge investments to ensure quality yarn production.’

Sunil Rathore
Lacoste India

‘New vendor is welcome if he offers cost, quality and timely delivery’

Frank Gossmann
Rotorcraft AG

‘RT3 motto is: Do not check millimetres, check colours.’

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Sonam & Paras Modi

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

December 2016

December 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search