Likely to introduce products from its Swedish parent shortly
NEW DELHI: Electrolux India is eyeing breakeven this fiscal, its second year of operations after coming into the Videocon Industries’ fold.
According to targets it has set for itself, 2007-08 should close with Rs 600 crore sales and net profit of Rs 15 crore against a net loss of Rs 42 crore a year ago.
The company, which was acquired by Videocon in 2005, now operates with only the Electrolux brand - the Kelvinator brand which was also with Electrolux prior to acquisition, has been housed with another company in the Videocon fold. As of now, Electrolux deals in refrigerators, washing machines, air conditioners and microwave ovens but this range is being expanded.
Managing director Anirudh Dhoot told DNA Money that his company is also looking to introduce some of the products from its Swedish parent soon. “Our global portfolio comprises dishwashers, vacuum cleaners, hobs and hoods, coffee makers and mixers, etc. We plan to introduce dishwashers and front loading washing machines in India next year. Initially, these products would be imported but we would look at manufacturing them locally sometime later.”
As of now, Direct Cool fridges are being made by Electrolux at its Shahjahanpur (Rajasthan) facility whereas Frost Frees below the 280 litre capacities are manufactured near Nagpur. By February next year, most other products in its portfolio would begin to be manufactured at the greefield facility coming up at Kashipur (Uttarakhand).
This facility is common for other appliances companies in the Videocon stable so Electrolux is not investing any of the Rs 200 crore needed for it. Once the Kashipur facility is operational, Dhoot said he will look at expanding his export basket.
Electrolux claims 8% share of the refrigerator market and 4% of the washing machine segment.
