Khaitan: Dreaming big

Calcutta, Feb. 5: Eveready Industries India Ltd aims to double its turnover to Rs 2,000 crore over the next three years on the back of sales and acquisitions in the domestic FMCG space.

“We are looking for mid-sized companies, mainly out of our existing product line,” vice-chairman Deepak Khaitan said.

Eveready is ready to shell out Rs 150-200 crore for each buyout, he said.

The company, which posted a turnover of Rs 860.49 crore in 2008-09 with a net profit of Rs 19.40 crore, hopes to register a 25 per cent growth in topline in 2010-11.

“With falling zinc prices, we expect that the company’s EBIDTA will rise at least 15 per cent this year,” Khaitan said. EBIDTA is earnings before interest, depreciation, tax and amortisation.

Eveready in May had picked up an 80 per cent stake in France-based Uniross SA for 10 million euros.

The company entered into an agreement with Paris-based CG Holding, which holds around 70 per cent in Uniross.

Eveready expects its non-battery business to grow at a faster rate. At present, batteries contribute around 70 per cent to the company’s business.

“By the time we reach the Rs 2,000-crore mark, the contribution of batteries would come down to 40-45 per cent,” Khaitan said.

In February last year, the company had forayed into home lighting.