New Delhi: FMCG firm Godrej Consumer Products (GCPL) on Tuesday said it is looking at ten-fold jump in revenue in the next ten years as it plans to expand its reach both in the international and domestic markets.
The company, which had a revenue of Rs 3,800 crore last fiscal, said it is still on the lookout for acquisitions in the overseas, while planning to strengthen its presence in India, particularly in the rural areas.
“We are looking at growing ten times over a time frame of 10 years. So that translates roughly into a CAGR growth of about 26%. We expect to grow organically by 15-20% and top it up by another 10% inorganically,” GCPL chief financial officer P Ganesh told reporters here.
As part of its expansion plan the company said it is gearing up to expand its base particularly in the rural areas by developing products at an affordable price range.
“We are driving our agenda to at least reach out to 3,000 plus population villages and towns...We need to have the right kind of products to access these markets and having the right kind of price points,” GCPL vice president (Marketing) Tarun Arora said.
At present, rural markets contribute about 30% to the company’s overall sales. The company said its products are currently available in around 40 lakh outlets across the country.
Besides, GCPL, which sells household insecticides under the brand ‘GoodKnight´ and soap brands like Godrej No 1 among others, said it will continue to take the acquisition route to expand its presence across the globe.
“We are still looking for acquisitions in the emerging markets. Any acquisition, which is strategic fit to the company, we will definitely look at it,” Ganesh said.
He, however, did not give details on the size of acquisitions and in which geographies the firm is looking at.
In June, GCPL had acquired 51% stake in African hair care company Darling Group Holdings. The firm had also earlier this year acquired Indonesia-based insecticides maker Megasari Makmur.
The company also said Godrej Group is embarking on an initiative under the name ‘Good and Green´ with an aim to create around one million employability in the next 10 years. As part of the initiative, the firm is also focused on developing products which are environmentally friendly.
“As a group we have embarked on an ambitious target for the next 10 years years how we can provide and support employability. We have set a target of one million of jobs of training and employability,” GCPL managing director A Mahendran said.
He said the initiative would focus on creating jobs primarily in the rural areas.