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

Courtesy: Jens Mahnke from Pexels

Textiles | On 22nd Oct 2018

India levies anti-dumping duty on flax yarn from China

The ministry of finance, Government of India, has imposed definitive...

US polyester yarn makers allege dumping from China, India

Textiles | On 22nd Oct 2018

US polyester yarn makers allege dumping from China, India

Two major US synthetic yarn producers—Unifi Manufacturing, Inc...

Courtesy: Donear

Textiles | On 22nd Oct 2018

Aspiring middle class shaping menswear fabric trend

The key trends shaping menswear fabric include a new middle class and ...

Interviews View All

Milind Khandwe, Hindoostan Innovation Centre

Milind Khandwe
Hindoostan Innovation Centre

‘Modern technical textile is an indispensable tool for science and...

Rashi Menda, Zapyle

Rashi Menda
Zapyle

Every fifth sale we make on Zapyle is a repeat purchase

Varinder Singh Jawanda, Trendy Bharat

Varinder Singh Jawanda
Trendy Bharat

Sizing and fitting issues are inherent problems for companies expanding...

Harsh Shah,

Harsh Shah

Established in 1956 with a small beginning, Embee today manufactures a...

Paolo Crespi,

Paolo Crespi

For.Tex is an Italy-based leading producer of dyes and thickeners, and is...

Italtex,

Italtex

Italtex is a leading studio publishing fabric trend-books since 1959....

Pierre Wiertz, EDANA

Pierre Wiertz
EDANA

Pierre Wiertz talks about the vast world of sustainable nonwovens and...

Razvan Popescu, Directa Plus SpA

Razvan Popescu
Directa Plus SpA

Directa Plus is one of the largest producers and suppliers worldwide of...

Kazuaki Yazawa, Purdue University

Kazuaki Yazawa
Purdue University

Scientist <b>Kazuaki Yazawa</b> has developed thermoelectric semiconductor ...

Vaanee Bhatia, Gritstones Clothing

Vaanee Bhatia
Gritstones Clothing

<div>Delhi-based Gritstones Clothing offers quality and exemplary style...

Wendell Rodricks, Wendell Rodricks

Wendell Rodricks
Wendell Rodricks

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

Igor Chapurin, Chapurin

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

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


October 2018

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

news category


Related Categories:

Advanced Search