Leading luggage maker VIP Industries has said it is eyeing 15 per cent growth in top line this fiscal and aims to become a zero-debt company in the next two years.
The company also intends to strengthen itself in allied segments such as handbags and backpacks this fiscal.
"The market is perking up. We are optimistic about FY '11 and should achieve 15 per cent growth in our top line. We also plan to improve our product offerings in segments such as handbags, backpacks, etc," VIP Industries Chairman Dilip Piramal told PTI here.
VIP Industries aims to be a zero-debt company in the next two years, Piramal said.
"We have already reduced our debt from Rs 130 crore to Rs 80 crore. We are on track to become a zero-debt company in the next two years," Piramal said.
The company's net sales jumped 24 per cent in FY '10 to Rs 626.6 crore over the year-ago period. Its profit after tax also (PAT) vaulted 463 per cent to Rs 50.1 crore over the same period last fiscal.
"The market is growing, travel is picking up and with the marriage season round the corner, our sales should pick up considerably this month. I am confident of a top line growth of 15 per cent this fiscal," Piramal said.
Earlier, much of the sales were concentrated during the marriage season but now with travelling activities taking place round the year, the seasonality is not much, he said.
The company is in the midst of fine tuning its roadmap for the next three to five years.
"Our strategy is to strengthen our existing business and eliminate any weaknesses that exist. We want to ramp-up our institutional sales and also focus on smaller items such as handbags and bag-packs, among others," he said.
The company enjoys an overall market share of 66 per cent in the organised sector, he said.
