TTK Prestige, country’s leading player in kitchen appliances, expects its revenue to cross ₹5,000-crore mark by 2026-27, aided by organic and inorganic growth, up from ₹2,033 crore in FY21.
The company had set out a revenue target of ₹5,000 crore to be achieved by FY24. Unfortunately, the two years of pandemic has delayed it. We are hopeful of achieving the revenue target by FY27,” TT Jagannathan, Chairman of the company, told BusinessLine .
In the ₹5,000-crore target, Prestige brand, which has a strong brand recall among kitchen products across India, is expected to contribute about ₹3,500 crore, while cleaning solutions will grow to about ₹500 crore. The Judge brand will also grow to a level of ₹500 crore.
Prestige brand’s revenue has grown at a CAGR of about 10 per cent in the last decade and company expects the momentum to continue to reach the desired revenue target by FY27, Jagannathan said.
The company expects strong growth in exports. In this fiscal, it is expected to touch about ₹150 crore amid prevailing container shortages, up from about ₹25 crore 2-3 years ago. By FY27, export revenue is also expected to touch ₹500 crore. “We will also have acquisitions and thus, the overall revenue may cross ₹5,000 crore,” he added.
He attributed the success and strong growth of the kitchen appliances business to strong R&D capabilities and product innovation of the company. “While we have about 100 people in R&D, we are the only company to launch 100 new products every year,” he said.
Also, factors like preference to branded products, growing urbanisation, rising disposable incomes and the implementation of GST have been aiding company’s growth. Over the years, the company has also transformed from being dependent on a single product to a total kitchen solution provider with numerous products.
“The market and competitive landscape is different now. With the introduction of GST and the advent of e-commerce, the unorganised market has vanished, and it has given us space for growth,” he pointed out.
Honour for Jagannathan
Jagannathan, a gold medallist from IIT Madras, is being bestowed with the honour of having a hall at IIT Madras named after him. This tribute marks his contribution to Corporate India and in recognition of his achievements as a businessman.
A gold medallist from IIT Madras, Jagannathan entered the business at an early age. He was appointed as Managing Director of TTK Prestige at age of 26. Jagannathan revived the failing and bankrupt company into a strong kitchen brand over these years. Under his stewardship, TTK Prestige transformed into a total kitchen solution provider with 5 manufacturing plants and a strong distribution network. Jagannathan has contributed ₹10 crore to IIT Madras to establish an endowment, which will be used for further research.