CHENNAI: Kitchen appliances major TTK Prestige is eyeing a sharp, over ten-fold increase in its exports over the next five years.
The company has set itself a target of reaching Rs 500 crore in exports by 2025 from the current level of Rs 50 crore annually.
According to Chairman T T Jagannathan, TTK is confident about achieving the target since its exports have been growing at a substantial pace and their overseas customers have indicated increasing their orders.
“Our export customers are looking to increase their sourcing from the company. It is a positive sign,” said Jagannathan while speaking to TNIE. Currently, the company’s exports comprise only 3.5 per cent of its revenue.
However, it aims to increase this share to 12.5 per cent in the next five years. Jagannathan said that after the Covid-19 pandemic and subsequent lockdowns pushed people into cooking more at home, dependence on domestic kitchens have increased.
This trend will definitely boost the sales of kitchen appliances, he said. “Our exports are growing by 50 per cent year after year.
Due to the lockdown, our shipments were stuck and we witnessed a little fall in exports this financial year. But, since the last week of May, our exports have picked up,” Jagannathan pointed out.
He further added that the company will be continuously innovating and launching new products, especially in the pressure cooker category, to enhance its footprint in the international market.
The company is expanding its distribution network consistently and expecting robust sales through the online channel.
Alongside a significant rise in its exports, the company is also expecting to increase its turnover to Rs 4,000 crore by FY 2024-25.
This fiscal year, while the company had expected a turnover of Rs 2,100-2,200 crore, sales were affected due to the lockdown, making achieving the target a difficult task.
“(But,) we are witnessing an uptick in demand and robust sales will definitely help us to achieve the target,” he said. Domestic sales of TTK Prestige accounted for Rs 1,895 crore in revenue in fiscal 2019-20 against Rs 1,917 crore in 2018-19. Exports stood at Rs 42 crore against Rs 51 crore in the previous year.