16 July 2024, Mumbai
Bengaluru-based active-wear retailer, TechnoSport is targeting a 30 per cent annual growth in revenue over the next few years. In FY24, the company’s revenues surpassed Rs 300 crore.
Sunil Jhunjhunwala, Co-founder attributes this growth to the increasing demand for organised and branded products, competitive pricing targeting the mass market, and the company's aggressive expansion plans via e-commerce and exclusive brand outlets.
TechnoSport holds a 10 per cent market share in the value segment, for garments priced between Rs 300 – 700, says Jhunjhunwala. However, this market is highly fragmented with many small brands, unorganised players, and counterfeit products. Around 50 per cent of this segment is expected to consolidate with the market becoming more organised, he adds.
TechnoSport reported revenues worth Rs 287 crorealongwith with a profit of Rs 29.26 crore in FY23.The brand recently launched its first outlet in Bengaluru. It plans to add 7-8 new exclusive brand outlets (EBOs) this fiscal year and also convert some of its existing general trade retailers into EBOs, informs PuspenMaity, CEO.
TechnoSportalso aims to enhance the contribution of its e-commerce operations to double digits percentage of total sales. Currently, online retail accounts for 7-8 per cent of the brand’s business.
To fuel its expansion, the 17-year-old sportswear maker secured Rs 175 crore in its first external fundraising round from A91 Partners. TechnoSport has already invested Rs 50 crore in its Tamil Nadu factory, which became operational last year. Over the next two fiscal years, the company plans to invest an additional Rs 200 crore into the unit, affirms Jhunjhunwala.
