Ikea devises plan to achieve operational profitability in India
12 February 2025, Mumbai
Ikea India has devised a clear plan to achieve operational profitability in the domestic market within the next few years.
According to Sussane Pulvever, Chief Sustainability Officer, the company’s growth strategy involves maintaining low costs, enhancing operational efficiency, developing cost-effective customer touchpoints, and reducing expenses.
Having navigated the challenges of the pandemic, supply chain disruptions, and inflation, Ikea India now prioritizes growth. Though the company’s losses increased to Rs 1,299.4 crore in FY 2024 with rising investments in retail expansion, its revenues increased by 4.5 per cent Y-o-Y to Rs 1,809.8 crore.
With its growth being significantly driven by e-commerce, Ikea India's online sales are increasing at a faster rate than in-store sales. Currently, online sales account for 30 per cent of the company total sales with this percentage expected to rise in future.
