Home / Knowledge / News / Textiles / Alok to generate higher ROC in near future
Alok to generate higher ROC in near future
21
Mar '11
Alok Industries plans to increase the proportion of polyester vis-à-vis cotton to 50:50 in the next two years from the current 25:75, to generate a higher return on capital (ROC) yield, says a top official.

Alok Industries Ltd., the Rs 43.11 billion turnover (2009-10) vertically integrated Mumbai-based textiles company, is now in the final stages of capacity expansion phase, which had begun six years ago.

In all the company has invested Rs 70 billion capex across all its textile verticals beginning from home textiles to clothing. Against the industry average of 3-5 percent, Alok has spent around 12 percent of its revenue to service the debt every quarter.

Mr Sunil Khandelwal – Chief Financial Officer (CFO), however, is very optimistic about the future. He says, “Our operations will generate higher revenues in the next 2-3 years. At present too, we are comfortably positioned.

“As far as the ROC is concerned, its about 13-14 percent as of now and we are targeting to reach 20 percent in next two years, which will be possible mainly due to full output from the existing change in product mix, by shifting to a higher proportion of polyester where ROI is very high”.

Informing about the capex investments, he said, “The capex is more or less complete now and from now onwards, only a small balance sheet will be there. The impact will be felt on; our operations, which will be maximised; debt will start coming down and finally our interest rates would start coming up as an input”.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 23rd Feb 2017

Incentives would spur jobs: New ASSOCHAM president

Further incentives for investment into manufacturing, IT,...

Information Technology | On 23rd Feb 2017

Lectra unveils supply chain programme for fashion industry

Lectra, the world leader in integrated technology solutions dedicated ...

Fashion | On 23rd Feb 2017

London top destination for new luxury stores: Savills

London has topped the global ranking for new luxury retail store...

Interviews View All

Dharmendra Shah
Ozone PB Spintex Limited

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

Victor Chao
Esmetex

‘In future, clothing boundary lines will become increasingly blurred.’

Rahuul Jashnani
Jashn

‘Online economy has changed the whole dynamics of buying habits.’

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Yash P. Kotak
Bombay Hemp Company

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

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
February 2017

February 2017

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

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search