Jaya Shree Textiles (JST) is looking at increasing its linen business by 8 to 10 per cent in 2016. JST a part of the Aditya Birla group expects to earn Rs 800 crores revenue from its linen business with an EBITDA of 11 to 12 per cent while another Rs 700 crores will flow in from its woolens product line.
The company imports its linen from Europe and processes it into fabric and apparel under the brand name Linen Club. Presently fabrics contribute to 96 per cent of its revenue while the rest comes from its apparel line. Operating in the Rs 1,500 crores niche linen market, the company commands a market share of 50 per cent in pure linen textile which is pegged at Rs 900 crores.
Apart from its focus on the domestic market, the linen fabric maker is also eyeing for expansion into Bangladesh, Sri Lanka and the Middle East. Linen Club has 127 exclusive stores, which will increase to 134 by March 31 this year while another 40 will be added during 2016-17. Apart from increasing its exclusive store count, the group is also aggressive on the retail outlets. It has been adding 300 to 500 stores every year and will continue at this pace.
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