Watertec India Pvt Ltd, a manufacturer of bath fittings and accessories, is planning to invest around Rs 60-70 crore to set up facilities in various parts of the country. The new facilities will help the company achieve its Rs 1400 crore revenue target by the end of FY24.
Bantwal Ramesh Baliga, CEO, Watertec, said that the company is planning to invest in the development of three more plants in the year 2021-2022 in Gujarat, Odisha and Coimbatore (Tamil Nadu).
It also has plans to invest in its 24 showrooms that will focus on educating the customers about the company’s product offerings rather than just product promotion.
The company offers inside, outside and behind-the-wall solutions for bathrooms. The product portfolio of Watertec includes polymer and chrome plated products in various finishes like black, rose-gold, etc and stainless steel bath fittings suitable for urban, rural, residential, commercial, hotel complexes, institutions and so on. Its sanitary ware products claim anti-bacterial, anti-fungal and anti-odour properties. Watertec’s touchless faucets and innovative product range ensures complete protection and hygiene.
The current Covid and post Covid scenarios pose a new challenge to the bathroom and the plumbing industry. The new normal stresses on healthy, hygienic, touch-free and self-cleaning, AI controlled, IoT connected products. The company is planning to launch touchless cisterns by Oli, touchless toilets and seat covers by ARCA Japan, sensor faucets by Conti+, touchless soap dispenser by VRH among others. These are designed to promote optimal health, hygiene and provide an ultimate bathroom experience along with the ease of usage, flawless performance and elegant designs.
Baliga said despite the pandemic, the company expects to close the current fiscal with a revenue of around Rs 450 crore, a growth of nearly 11-15 per cent, while its earlier growth has been around 22-23 per cent.
Slowdown in the growth was largely due to a slowdown in the new real estate projects, especially commercial projects, while the replacement markets, especially in tier-II and III cities are growing as people have more time at home.
He said, production and sales reached pre-covid levels three months earlier and the company increased production by 120 per cent, by adding 200 new people. In the last three months, the company reported a growth of around 26 per cent.
Baliga noted, the concern is raw material prices, which have increased almost 100-150 per cent, would impact the margins.
On the way forward, he said, the company is targeting around Rs 1,400 crore in revenue, including 10 per cent from exports, by 2023-24. This translates to around 30 per cent growth.
Established in 1997, Watertec has around 19,000 channel partners across the country and a 700,000 square meter manufacturing facility.
The widespread retail network of Watertec spans across almost 17,000 dealers and is present in every corner of the country. The company has about 36 of its own warehouses across every state ensuring fast delivery of any product within 24 hours of ordering.
The company has expanded its reach to the Middle Eastern, African, South Asian and the SAARC markets.