Premier Bearings aims to double topline to Rs 500 cr in 5 yrs

Premier (India) Bearings Ltd is aiming to double its topline over the next few years, riding on reduced "taxation hassles" post the introduction of the Goods and Services Tax, a top company official said today.

The city-based industrial bearing distributor is eyeing a 20 per cent year-on-year growth, and Rs 500-crore revenue in the next five years, Managing Director C R Chindalia said here.

The company's net sales stand at Rs 265 crore at present.

"GST has removed taxation hassles... we are going to construct a major semi-automatic warehouse at an estimated cost of USD 2 million," he said.

The facility for which land has been identiified, would cater to the demand across the country, and improve the company's operational efficiency, Chindalia said.

The bearing industry is looking up since the last one year after a lull, owing to a slump in the steel industry that accounts for some 25 per cent of the volume, he said, adding, margins, too, are expected to be better in the 2018-19 fiscal.

Premier (India) Bearings is also in discussion with German bearing major Schaeffler for expansion of distribution to other Asian countries, including the Middle East.

"Currently, dialogue is on for other Asian countries, but it is yet to be firmed up. We are the largest distributor for the region in India," Chindalia said.