Aditya Birla Fashion could cross revenue target by 2026: chairman

NEW DELHI : Aditya Birla Fashion Retail Ltd (ABFRL) could exceed its target of reaching 21,000 crore in annualized revenue by 2026 and achieve higher milestones for the company in the future, Chairman Kumar Mangalam Birla said.

“We had forecast a turnover of 21,000 crore for the year 2026 at our annual investor day held in March 2021. I am very confident that we can exceed this target and set even higher milestones for the business in the future” , Birla said at the company’s 15th AGM on Monday. .

ABFRL, which operates clothing brands such as Reebok, Van Heusen and Allen Solly in India, recently raised 2,195 crores from Singapore’s sovereign wealth fund GIC. The company said the money will support its growth in emerging areas such as ethnic apparel, athleisure and D2C.

Over the past few years, ABFRL has diversified its portfolio by investing in local labels; In the last fiscal year, it also acquired the sales rights to sportswear brand Reebok in India.

“We continued our first designer partnership with Shantanu & Nikhil by forging new alliances in FY21 with two of India’s most iconic designers: Tarun Tahiliani and Sabyasachi. These two partnerships will further strengthen our presence on the luxury and designer bridal wear market. In FY22, your company also announced a tie-up with one of India’s youngest next-generation designers, Masaba Gupta,” he said. .

Through these acquisitions and partnerships, ABFRL now has one of the strongest and most comprehensive ethnic brand portfolios in the Indian apparel industry and is now poised to grow exponentially, Birla added.

Birla also warned of global headwinds. In recent months, the war in Ukraine and looming fears of a global recession have posed headwinds at the macro level. Birla said tighter energy markets and spillovers to energy security in some regions along with high energy prices have set off a chain reaction, fueling inflationary impulses and volatility. “It has shaken consumer confidence and dampened risk sentiment in financial markets,” he said.

However, he said India appeared well placed to navigate an uncertain global economic environment. “India has a strong pipeline of infrastructure projects. Also, pragmatic government policies such as production-related incentive programs are helpful. Many industries have witnessed new announcements of investment in projects,” Birla added. He warned that while businesses should be on guard against market volatility and cost pressures, the economy is expected to show a recovery in growth in the medium to long term.

Catch all the company news and updates on Live Mint. Download the Mint News app to get daily market updates and live trade news.

More less

To subscribe to Mint Bulletins

* Enter a valid email

* Thank you for subscribing to our newsletter.

Post your comment

Comments are closed.