 | « Back to article | Print this article |
LG Electronics said on Wednesday that it aims over three-fold increase in turnover to Rs 15,000 crore (Rs 150 billion) in the next three years due to increasing TV and mobile phone sales and would invest Rs 700 crore (Rs 7 billion) for new products besides augmenting capacity.
"We aim of attaining Rs 15,000 crore topline in the next three years from Rs 4,500 crore (Rs 45 billion) in 2003. We will also pump in Rs 700 crore out of which 50 per cent will be for new products," LG Electronics India managing director Kwang-Ro Kim said on the sidelines of a news conference to celebrate its seventh year in India.
LG Electronics India, which contributes five per cent to the sales turnover of its Korean parent, targets to double its contribution by 2010.
"We plan to double our contribution to the parent company on expectations of higher sales in India as the macro economic indicators appear strong here. Moreover, with vendors getting competitive, we will get cheaper components," he said.
At present, the company has 30 per cent market share each in TV, home appliances and IT and communications segments.
Out of the Rs 4,500 crore sales last year, exports contributed about Rs 180 crore (Rs 1.8 billion), which could go upto about Rs 315 crore (Rs 3.15 billion) in 2004.
The fresh investment also includes Rs 175 crore (Rs 1.75 billion) for its second plant in Pune, which is being set up with a total investment of Rs 1,000 crore (Rs 10 billion).