Indo Count is not just a name, but an emotion we cherish. For over 25 years, we have meticulously nurtured a culture of innovation and quality excellence, leading to superior brand experience for our global customers. This business philosophy has been responsible for our sustainable growth momentum. FY2016-17 saw a continuation of this trend.
I am pleased to share with you that the financial year 2016-17 was exciting and eventful at Indo Count. We started gaining acceptability across three new segments, which comprise of Fashion, Utility and Institutional bedding across geographies. During the year, we launched high quality lifestyle brands, primarily focusing on premium customers and their evolving aspirations.
All this has been possible owing to our unique approach to Home Textiles which has helped us create our strong presence across the globe.
We felt forward integration would make us stronger and more competitive. Such a strategy helps us stay close to the customer and understand market trends better. Deep insight into market trends and behavioral patterns of customers drive our innovation.
Innovation and Branding counts
At Indo Count, we always seek to provide functional benefits through our differentiated products, which are outcomes of continuous innovation.
We are working diligently on differentiating ourselves from our peers to establish top-of-mind recall for our customers and clients. Our major thrust has been on innovation and development of new products. In our quest to deliver a refreshing sleep experience and providing complete bedding solutions, we focus on giving the customers an extraordinary brand “sleep” experience.
In 2016, we introduced three lifestyle brands, ''''Boutique Living'''', ''''Revival'''' and ''''The Pure Collection'''' in the US Market. The ''''Boutique Living'''' showcases four innovative design categories. Besides, three new licensed brands - ''''Harlequin'''', ''''Sanderson'''', and ''''Scion'''' were introduced in North America. We also forayed into Indian market with the launch of our domestic inspirational brand ''''Boutique Living'''' in October 2016. Our Boutique Living collection is geared to set new benchmarks for inspired living for customers in India.
Innovation cannot be an end in itself. It has to reach customers across geographies and fulfill their needs. To meet the growing demand for innovative products from our global customers, we have aggressively focused on scalability. Technology and Automation are among our key business differentiators, which allow us to be nimble, resilient and innovative. Our expansion is divided into two phases. We completed the Phase I with an expenditure of around Rs,175 Crores which included increase in our capacity from 68 million meters’ to 90 million meters, set up of a state-of-the-art reverse osmosis (RO) and water effluent treatment plant, automation of cut-and-sew operations and warehousing.
We have also lined up a capital expenditure of around Rs,300 Crores for Phase II. It will be invested in additional weaving capacity (with specialized looms), advanced equipment for the delivery of fashion and utility bedding and modernize existing spinning facilities.
Committed to Deliver
I am happy to share that our performance reflects the inherent fundamental strengths of our business. We achieved encouraging numbers during 2016-17. The consolidated revenues enhanced to Rs, 2,258 Crores in 2016-17 compared to Rs, 2,111 Crores in previous year. Net profit for FY 2016-17 stood at Rs, 232 Crores and Earnings Per Share at Rs, 11.76.
The Board has paid interim dividend @20% per equity share of face value of Rs, 2/- each and recommended final dividend @20% for the year 2016-17 subject to approval of members; total dividend outflow would be 40% (i.e. Rs, 0.80 per equity share of face value of Rs, 2/- each)
We grow; our community grows
We believe businesses have the capacity to create developmental models for communities. We direct our efforts to elevating the lives of the underprivileged in and around the local areas where we operate. Indo Count Foundation, primarily focuses on the spheres of Education, Women Empowerment, Healthcare, Water & Sanitation and Rural Upliftment.
Going forward, we will continue to focus on cost efficiencies, quality control, market penetration and technology up gradation. We will also concentrate on expanding the value-added product portfolio by focusing more on innovation in line with changing aspirations of society. We will also enrich our brand experience by improving existing brands and introducing new brands.
Our multi-cultural and dedicated workforce has a significant role to play in making Indo Count a global leader in the markets in which it operates. Our team''''s passion for excellence takes us further, despite challenges.
Lastly, I take this opportunity to thank all our employees, loyal customers, dedicated partners, global teams, committed shareholders and stakeholders for helping us translate our ideas into encouraging outcomes for our business and for continued trust and confidence in Indo Count.
ANIL KUMAR JAIN