Panasonic India says 'on track' to achieve 20 per cent growth in FY17
New Delhi: Home appliances and consumer electronics company Panasonic India is "on track" to achieve Rs 10,800 crore revenue during 2016-17, a growth of over 20 per cent compared to the previous year.
"This year, we have set a revenue target of Rs 10,800 crore against about Rs 8,700 crore last year, so we will be growing at over 20 per cent. "We are almost 60 per cent down the year and on track... Diwali has gone really well for the consumer space," Manish Sharma, President and CEO of Panasonic India, told PTI.
He said the growth has been fuelled by robust demand for TVs and ACs -- the two segments that are "engines" of its consumer business. "Televisions have been doing well starting from this financial year.
This year, the industry is witnessing a growth of over 125 per cent driven by enablers like economic growth, and consumer finance," he said. ACs saw robust demand during summers, Sharma said adding that against an industry growth rate of 7-8 per cent, the segment grew at 11 per cent for the company.
Panasonic India operates across five segments – consumer business, industry business, mobile phones, energy business and system solutions business. The revenue target of Rs 10,800 crore for Indian operations this year includes Rs 2,500 crore of Anchor Electricals, part of Panasonic Corporation, Sharma said.
"In terms of contribution of individual businesses to the overall India sales, the largest chunk will be consumer business, followed by Anchor Electricals and mobile business running neck-to-neck, then system solutions division, industry business and the energy business, where the momentum is now building up," Sharma pointed out.
The consumer business includes ACs, TV, washing machines and microwave ovens and kitchen appliances, while industry business entails devices and solutions for the manufacturing space.
As part of System Solutions Division, the company focuses on products for office environment like display signages, high definition videoconferencing system, PBX and projectors.
For mobile phone business, the company is eyeing revenue of Rs 2,000 crore this year, up 25 per cent over last year. "Through EMS (electronics manufacturing services) partners we have started to manufacture in India - Noida and Manesar -and are also exporting mobile phones from India," he said.
The company has Research and Development units in Vietnam and Japan for development, testing, quality evaluation and compliances related to certification of mobile handsets and is conducting a feasibility study for a development facility in India.
