Homegrown denim brand Spykar is eyeing a growth of 25-30 percent this fiscal to clock a revenue of Rs 700 crore, a top company official has said. The brand clocked retail sales of over 550 crore in 2017-18.
“We see a remarkable change in consumer sentiments which encourages us to stick our neck out to go for such aggressive growth. This fiscal year we are aiming to close at Rs 700 crore, a growth of around 25-30 percent,” Sanjay Vakharia, Chief Executive Officer, Spykar Lifestyle told PTI.
According to a PTI report: The revenues of Spykar have doubled and the profits grew by 4x in the last 3 years, he indicated. The company is also expecting a better growth in the festive season this year at 15-18 percent and plans to expand its retail presence to 350 stores soon. It currently operates 220 stores in 140 cities, which are franchisee outlets.
“We plan to spread in 200 towns soon. And increase store count to 350 stores,” he told PTI, adding that lack of real estate space is a serious issue as the supply is not conducive for aggressive growth in retail.
The company which gets around 40 percent of its business from Tier II, tier III and tier IV cities, has forayed into the athleisure category and expects the segment to contribute significantly in future.
“We are getting into the athleisure side of the business and we will make sure that it will start contributing to the business in a major way,” Vakharia was quoted by PTI as saying.
In terms of revenue contribution, men account for 90 percent of sales but the company expects womens share to increase to 25 percent in future.
Accessories account for 4 percent of revenues currently which it expects to double to 8 percent by the financial year end. With e-commerce being a preferred mode of shopping these days, currently online space contributes 7 percent to the business and the company expects to close it at 10 percent for this fiscal year.