TVS Electronics expects POS business to grow at 12-15%

Company says market for POS products growing at a CAGR of 12%

TVS Electronics, a listed company under the TVS Group, is expecting its Point-of-Sale (POS) business to grow better, driven by the retail sector. The company, which has earlier seen a decline in the Dot Matrix Printers, is focusing on POS products focusing customers, such as thermal printers, scanners and label printers to mitigate this impact.

In the products business, the company expects the POS category to grow at 12-15% in the future, driven by expanding retail sector, according to the company.

During the last fiscal year, the market for Dot Matrix Printers (DMP) continued to decline given the preference for end users for new technology laser printers. However, the Company has mitigated this impact by improving POS (Point-of-Sale) business. The market for POS products is growing at a CAGR of 12% riding on the demand from retail sector, it said.

The company is focusing on customer-centric products like Thermal Printers, Scanners, Label Printers, which has posted volume growth. It has also retained its position in the dot matrix printer market and the business is profitable and generates valuable cash flow, said the company.

Besides, the company is also planning to set up consumer service centres under 'Multi-Brand Outlet' (MBO) model, with the demand for out-of-warranty services increasing. "This will help consumers get reliable and high quality services for their devices," said company management.

Last year, the Servicetec business recorded a robust growth of over 40 per cent in revenue and established itself as a strong player in the exclusive branded service centre delivery model for mobile phones. The Company plans to tie up with more leading brands in computers, mobile phones and other consumer electronics products by offering warranty services through multiple delivery models, it added.

The company, founded in 1986 as an IT peripherals manufacturer, is into transaction automation IT product manufacturer and service provider.The products arm of the company manufactures and sells Point of sale devices, Printers and Keyboards across various cities in the country.