During the quarter that ended March, Arvind Mills reported net profit of Rs5.4 crore, representing year-on-year plunge of 75 percent.
To recuperate from this loss, the denim giant has decided to focus on branded retail. Company hopes that the 14 Arvind brands will account for atlest half of the company's business by 2010.
While number of Excalibur stores are expected to go up to 200 by the end of this financial year, that of Arrow and Flying Machine will increase to 75 and 50, respectively. Total investment for these brands should be around Rs125 crore in next three years.
Known as one of the top denim manufacturers in the world, Arvind has signed up Bollywood celebrities like Abhishek Bachchan and Milind Soman to promote its men's wear brands. Budget allotted for advertising and campaign is around Rs35-40 crore.
Company is also planning to expand in overseas markets. Suresh J, COO, told the media, “While Arrow is already present in West Asia and Africa, Excalibur is present in West Asia and we might take it to Africa.”
Talking about its Flying Machine brand, Suresh said, “We will be launching this brand in the US and Europe after six months because we believe this is one brand, which will do well everywhere.”
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