Bombay Dyeing, the loss-making flagship textile company of the Wadia group, has planned to open a new retail counter every day in this year to boost its revenues, said its chief executive.
Its losses widened to Rs 39.8 crore in the first quarter of 2011-12 from Rs 30.49 crore in the corresponding period of 2010-11. Net sales were five per cent down at Rs 397.8 crore in the quarter, compared to Rs 418 crore in the corresponding one last year.
A retail focus is to be a new thrust area for the company, which forayed into real estate development in recent years, with large-scale property developments in the Worli and Dadar areas.
It currently has 350 points of sale, comprising company-owned, franchisee-run stores, multi-brand outlets and so on. It wants to add 365 new points of sale in the coming months.
“Bombay Dyeing has traditionally been a manufacturing company. We want to change that tag to a retail-focused company. We are talking about per square feet revenues from per square metre revenues,” said Debashis Poddar, chief executive.
The company plans to open more flagship stores to sell premium and designer products and international brands to boost revenue, he said. Currently, it has 14 such flagship stores in the country. Recently, the company roped in an ace designer to design bedsheets and towels.
“We want to create bigger stores, where we can sell top-of-the-line products and customise the offering to a particular locality. We may include international brands in these stores,” Poddar added.
The stock closed the day at Rs 316.30, down five per cent from yesterday’s close.