New Delhi: Apparel house Raymond on Monday said it is aiming to increase revenue from retail business by up to 40% in two years from the current Rs1,000 crore, for which it will add more stores in smaller towns.

“We are looking at 30-40% jump in revenue from retail business in the next two years from the current turnover of about Rs1,000 crore,” Raymond president (retail and business development) Rakesh Pandey told reporters on the sidelines of an AIMA event.

In the third quarter ended 31 December, Raymond reported a total income of Rs375.9 crore and for the nine-month period it stood at Rs1,017.95 crore.

Under its retail vertical, Raymond has the Raymond Shop (premium retail store offering complete wardrobe solutions for men), Brand Shop (exclusive stores for stand-alone brands of the firm) and Be:Home(a specialty multi-brand home retail chain for soft home furnishings and accessories).

To achieve its target, the company is stepping up retail expansion, specially into smaller towns and plans to add 300 stores in the next two years.

“We are expanding our outlets mainly in smaller cities and we will add 300 stores in the next two years,” he said, adding at present, the firm operates 500 outlets, of which about 80 per cent are franchisees.

He said about 250 stores will be opened in tier II and tier III cities, and most of them would be in the franchisee model with the size varying between 1,000 and 1,500 sq ft.