The Borosil group of companies, which includes Borosil Glass Works Ltd, Borosil Technologies and Gujarat Borosil Ltd, are targeting a combined revenue of ₹1,000 crore by the end of this fiscal year , said Shreevar Kheruka, CEO, Borosil Ltd.
Last year, the company recorded revenues of about ₹780 crore.
Borosil Glass Works Ltd, a B2C company, is planning to increase its retail presence by adding around 4,000 retail stores over the next few years to its existing 14,000.
“We are present in all the large-format stores. We want to expand our retail footprint. With higher marketing spend, we want to draw customers in and expose them to the different categories of consumer products that we deal with,” Kheruka told BusinessLine.
“We expect the revenues to increase substantially on a yearly basis by doing this,” he added
The company spends about 10-12 per cent of its consumer division’s revenues on marketing.
Incorporated in 1962, Borosil Glass Works caters to the consumer and scientific segments, with the former contributing 60 per cent and the latter 40 per cent to the overall revenues.
For the fiscal ended March31, it is expecting a revenue of ₹350 crore from its consumer segment and ₹210 crore from the scientific segment.
In the coming years, Kheruka said he expects the revenues of the consumer segment to increase by 15-20 per cent annually, whereas revenues from the scientific segment are expected to grow at 10-12 per cent.
As a group, Borosil currently has four manufacturing units, with plans to expand production capacity.
Last year, it doubled the capacity of its consumer business units, and plans are on to increase it by another 20 per cent in the coming year.
In the scientific segment, Borosil Glass Works supplies laboratory glassware to pharmaceutical companies, schools, colleges and research institutes.
Under Borosil Technologies (a subsidiary of Borosil Glass), the company is planning to diversify into a new product category called laboratory instruments — electronic instruments used in laboratories — which include centrifuges, shakers, stirrers and mixers.
“Today, they are mainly imported, and we are trying to develop these instruments in India with our own technical team. We want to do import substitution in this category,” said Kheruka.
“We just started (manufacturing laboratory instruments) this year, and it is very small at the moment. As a thought process, we want to expand from just making lab glassware to lab instruments too in the next three years,” he added.
Under the consumer division, Borosil Glass Works makes storage-microwavables, ovenware-kitchen appliances and dining ware . The company’s focus is on glass, in which it has a 50 per cent market share (in the organised storage segment).
Beyond glass, the company will also focus on the kitchen appliances segment, launched around three years ago.
The company will developa new a range of SKUs for this segment, which currently accounts for around 10 per cent of the consumer division’s revenues.
Gujarat Borosil Ltd, the country’s only producer of solar glass, is expecting a revenue of ₹220 crore for the fiscal ended March 31.
The company is spending ₹275 crore on a new capacity, which will start production by July. The new plant will increase the current capacity of 1 gigawatt of solar glass to 2.5 gigawatts.
“Once the new capacity is fully utilised, the revenues of Gujarat Borosil will reach ₹500 crore by 2020-21,” said Kheruka.