Arvind Fashions expects to have double-digit margin in the next 18 months

Leading lifestyle company Arvind Fashions expects double-digit growth over the next 18 months driven by strong consumer demand and emerging trends, according to a top company official.

Arvind Fashions' Executive Director Kulin Lalbhai told CNBC-TV18 that the company has grown by over 40 percent in the first half of the current financial year and expects the strong momentum to continue in the coming quarters.

He highlighted that in this quarter also, the company witnessed strong growth in sales around Diwali despite a higher base the last year.

The company expects double-digit margins in the next 18 months powered by its string brand portfolio which had double-digit growth in the past 12 months.

Arvind Fashions also sees around 20 percent growth in the online channel over the next three-four years despite a high growth of over 25 percent in the past few years driven by the pandemic.

The company is hopeful of achieving around Rs 4,000 crore of revenue in this fiscal.

According to Lalbhai, the company is focusing on building “very very large mega” brands in the next year as it already has five to six large brands that are leaders in their segments. The company wants these to be Rs 1,000 crore-plus brands in the next three years.

Arvind Fashions' largest power brand US Polo is well over Rs 1,000 crore and other large brands are expected to touch the mark in a couple of years.

The company has a portfolio of over 27 leading global brands such as US Polo, Calvin Klein, and Tommy Hilfiger in India. It has 1,300 stand-alone stores and has a presence in 5,000 departmental and multi-brand stores across India.

Shares of the company ended 1.61 percent higher at Rs 328.70 on Monday.