Duroflex sets ambitious revenue target for FY22

Duroflex, one of India’s leading sleep solutions providers, has set a revenue target of ₹1,000 crore for FY22, amid growing awareness of healthy sleeping habits since the onset of the pandemic and increasing demand for branded mattresses.

“Although we had a big dip in the April-June quarter last year, overall FY21 was a bumper year for us. We started off FY22 on a very good note as well and expect to hit a revenue of ₹1,000 crore this year,” Mohanraj, President - Business Unit Head, Duroflex told BusinessLine .

The Bengaluru-based mattress manufacturer clocked a revenue of ₹450 crore in FY20 and ₹600 crore in the pandemic-hit FY21.

Focus on expansion

The company has chalked out a multi-pronged growth strategy which includes strengthening of its manufacturing capacity, diversification of its product portfolio, expansion of retail stores across the country, and scaling up its e-commerce trade besides strengthening its exports business.

“During Covid, when most others were conserving cash, we added a manufacturing facility in Indore,” Mohanraj said. “Even if there is a third wave, looking at our experience in the first and second waves, our business should do well and we are gearing up accordingly.”

Duroflex has seven manufacturing facilities in India including the Indore plant. It has three factories in Hosur and one manufacturing unit each in Alleppey (Kerala), Hyderabad, and Bhiwandi (Maharashtra). The company is also setting up a small manufacturing plant in Delhi.

“On an average, each of our plants contributes ₹300-400 crore worth of business, and Indore will not be any smaller. In fact, it will be slightly bigger because we are going big time on exports and are planning to move some of our export manufacturing to Indore,” Mohanraj added.

Currently, exports account for 10-12 per cent of Duroflex’s business, and the company is planning to increase the share of exports to upwards of 20 percent in the next two years.

Duroflex recently named Alia Bhatt its first ever brand ambassador as the south-focused brand plans to deepen its presence in the north, west, and north-east markets.

Smita Murarka, CMO, Duroflex, said, “We really want to influence the youth, especially the millennial audience, to understand the importance of sleep and mattresses. We want to take this realisation to a national level and that’s why we chose Alia Bhatt.”

Duroflex also plans to increase the number of company-owned and company-operated retail outlets across the country.

“We started off this year with 10 company-owned outlets and by September 2021, we will have over 40 such outlets. Lots of these expansions have been planned in the north, northeast, and western markets,” said Mohanraj.

Furniture business

Duroflex also recently expanded its product portfolio to include the furniture business. It currently offers a range of sofas, cots, beds, and home office essentials like foldable study tables and ergonomic chairs.

“Like mattresses, furniture is another highly unorganised space. So, we have a good space to make an impact here considering our R&D, product design, and good knowledge about foams and fabrics. We are going to have a big play on the furniture side, and we have planned several launches starting from August,” Mohanraj said.

COMMENT NOW