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Published
Apr 29, 2020
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Dollar Industries expect sales to pick up post lockdown

Published
Apr 29, 2020

Kolkata-based knitwear manufacturer Dollar Industries Ltd expects flat growth for the financial year 2020, due to the coronavirus pandemic.
 

Dollar Industries expect sales to pick up post lockdown


The company has incurred losses of around Rs 100 crore ($13.2 million) in March alone due to poor sales and inventory pile up.
 
However, with opening of markets in the country, Dollar Industries expects a marginal pick-up in demand in the last two quarters of the financial year.

“The fourth quarter is usually a heavy quarter for the hosiery industry and the market remains bullish between March 15 and July 15, when there is heavy buying. Traders and distributors start stocking up from February. However, this year, the rumours of a possible lockdown had affected sentiments and the distributors were not picking up stocks. This affected demand,” Vinod Kumar Gupta, managing director of Dollar Industries, told BusinessLine.
 
“Production is currently closed due to the lockdown. Even when things normalise, most companies in the industry including Dollar will go for a staggered ramp-up of production due to the inventory pile-up,” he added.
 
To make up for its lost sales, Dollar Industries is incentivising is retailers and also plans to strengthen its online network to boost sales.

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