Raymond’s net profit for the quarter ended December 2006, against corresponding quarter in the previous year, on the back of retail push, zoomed up by 26% even though in sales for comparable products was only 13%.
“The company has identified retailing as its thrust area for future growth in the branded textiles and apparel space,” said Gautam Hari Singhania, chairman and managing director of Raymond, while announcing the results. “The company has embarked on an expansion plan for increasing its retail penetration and also entered into strategic partnerships with leading international players to enter new product categories,” he added.
During the quarter, the company signed a 50:50 joint venture with an Italian company, Grotto, for retailing of premium casual wear and accessories under the GAS brand.As a part of Raymond’s strategy to expand its retail network across the country and the middle east, the company launched its flagship store in Mumbai. Raymond’s is also increasing exclusive brand outlets for various brands in its portfolio.