Home / Knowledge / News / Textiles / Alok Industries: Q4 shows uptrend; eyes retail expansion

Alok Industries: Q4 shows uptrend; eyes retail expansion

07
May '09
It has been almost a half year now the industry is confronting with economic catastrophe world-over. Finance arms of the companies and the economy planners have been busily engaged addressing the cascade of issues viz finance crisis, regulatory/legislative changes, business interruption, increasing competition, commodity price risk, cash flow/liquidity risk, distribution or supply chain failure, etc. At the rear of such a situation, the bygone financial year 2008-2009 ended for companies domestical as well as global, leaving them with outcomes proportionate to the decision and strategies they have applied during this year.

In recently announced results of one of the leading textile players of India: Alok Industries Ltd, Net sales for Q4- FY09 grew by 25.33% to Rs. 908.39 crore and Operating Net Profit rose by 16.76% at Rs. 71.19 crore.

In an exclusive colloquy with fibre2fashion.com team, Mr Sunil Khandelwal, CFO, Alok Industries Ltd, retrospects the success factors for this bygone fiscal year and divulges on strategic plannings for following year as he addresses a few questions as below:

F2F: Let us begin talk with a retrospection on bygone financial year; what according to you were some crucial decisions for your company?

Mr Khandelwal: The company's strategy to expand / modernise its capacities in view of removal of quotas, during the last four years, has helped in building large capacities with backward and forward integration.

The vendor consolidation happening in US and Europe has increased the number of orders / enquiries to the company. Because of our economies of scale and competitiveness, it would be difficult for any vendor sourcing from India to ignore ALOK.

The company's decision to diversify into technical textiles / work wear fabrics, which has applications in Defence, Oil exploration companies, hospitality industry etc. has benefitted the company.

In order to increase the product range, the company has ventured into Terry Towel. Towards the end of last financial year, the company has commenced production of Terry Towel plant. The company had launched Rights issue of Rs. 450 crores in March 2009,which has now been completed successfully. This would improve the debt equity of the company.

F2F: Net sales for Q4- FY09 grew by 25.33% to Rs. 908.39 crore and Operating Net Profit rose by 16.76% at Rs. 71.19 crore. As a CFO, how do you view this growth? Can you please enumerate about the determinants behind?

Mr Khandelwal: The strategy to expand has helped the company. The additional capacities added during the last year and backward integration into spinning unit,diversified product range are the major factors in increasing the sales and profit.


Must ReadView All

Pic: Andreysha | Dreamstime.com

Textiles | On 1st Dec 2021

Factory activity in China rebounds following energy crunch ease

China's factory activity picked up in November following the easing...

Pic: Hikrcn | Dreamstime.com

Textiles | On 1st Dec 2021

Turkey second-fastest growing OECD economy in Q3 2021

Turkey has become the second-fastest growing economy in the third...

Prime Minister Sheikh Hasina. Bayazid Akter | Dreamstime.com

Textiles | On 1st Dec 2021

PM Hasina urges global investors to invest in Bangladesh

Prime Minister Sheikh Hasina recently urged investors from across the ...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

Donating 20,000 N95 masks to hospitals & NGOs

Textile Industry, Head Honchos

Textile Industry
Head Honchos

Increase foreign exchange and create jobs

Textile Industry, Head honchos

Textile Industry
Head honchos

Blockchain is not a silver bullet for each and every problem in supply...

Vikash & Vishal Pacheriwal,

Vikash & Vishal Pacheriwal

Launched in 2018, Raisin is a contemporary fusion fashion brand that aims...

Mumin Can Eker,

Mumin Can Eker

Maseksport Inc is a readymade garment exporter. Founded in Izmir in 1989,...

Sanjay Vakharia,

Sanjay Vakharia

One of the first few Indian denim brands, Spykar, established in 1992, was ...

Silverio Baranzano, Fitesa

Silverio Baranzano
Fitesa

Fitesa is a leader in the nonwoven fabrics industry, specialising in...

 Natacha Defeche, Edana

Natacha Defeche
Edana

Since 1971, EDANA, the International association serving the nonwovens and ...

Serkan Gogus, Mogul Nonwovens

Serkan Gogus
Mogul Nonwovens

Mogul is a global player ranked among the top 40 nonwoven producers in the ...

Megha Kumari & Jigar Mali, Label Megha & Jigar

Megha Kumari & Jigar Mali
Label Megha & Jigar

New Delhi based label Megha & Jigar blends India's unique handcrafts...

Abhishek Agarwal, Purple Style Labs

Abhishek Agarwal
Purple Style Labs

Late Indian fashion designer Wendell Rodricks, is known for his...

Ramya Rao & Kavea R Chavali, Kalaneca

Ramya Rao & Kavea R Chavali
Kalaneca

<div>The journey of Kalaneca (kala-Art, Neca- Nikaah) formally began in...

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

Leave your Comments


December 2021

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


Advanced Search