Fashion and apparels retailer V2 Retail has set an aggressive expansion target of doubling its retail presence to 100 outlets by the end of the next fiscal.
According to a PTI report: The value-focused retailer, which mostly has presence in Tier II and III cities, is also looking at achieving a compound annual growth rate of 40 percent for the next 2-3 years.
“Our target is to have a network of 100 stores by March 2019. We have cash with us…our only challenge will be to find good/profitable locations,” Akash Agarwal, Director of V2 Retail was quoted by PTI as saying.
V2 Retail, which at present has 48 operational outlets across the country, has already identified almost 40 new store locations.
Agarwal said the company is also focusing on increasing revenue contributions from its private label brands.
“At present, private label brands contribute to 15 percent of total sales, we are looking at taking it to 35 percent,” he was further quoted by PTI as saying.
V2 Retail has private labels, including Herrlich, Godspeed, Stylla and Zavinci.
The company had reported a turnover of Rs 471 crore in the previous fiscal. In October last year, funds affiliated with private equity firm Lighthouse made an investment of Rs 76 crore in the company.
V2 Retail was formerly known as Vishal Retail. The brand ‘Vishal’ was sold in the year 2011 due to operational losses. The company was later renamed V2 Retail Ltd.