Raymond expands real estate business and focuses on apparel

20 Jun 2023 CW Team

Following the sale of its FMCG business to Godrej Consumer Products in May, the Raymond Group will focus on real estate through Raymond and the branded apparel business under Raymond Consumer Care, which is scheduled for listing.

In the company's F23 annual report, Gautam Singhania, Chairman and Managing Director, stated that Raymond Realty will be a core business going forward, actively pursuing new projects and JDAs in the Mumbai Metropolitan Region (MMR) due to its significant growth potential.

Currently, the company has launched three projects in Thane, with reported bookings of Rs 16 billion from these ventures last year. Two projects have already sold 80 per cent of their inventory, while the recently launched third project has sold a quarter of its inventory. The company foresees a total revenue potential of Rs 14 billion from this third project.

Raymond Ltd recorded a revenue of Rs 83.37 billion, with the realty business contributing Rs 11.15 billion, a notable 58 per cent increase from the previous year. The realty segment also achieved an impressive EBITDA margin of 25.7 per cent in FY23. The company intends to expand its real estate operations beyond Thane in the MMR region.

Godrej Properties, Macrotech Developers, Mahindra Lifespaces, Birla Estates, and L&T Realty currently dominate the MMR real estate market, with recent entrants seeking to establish their presence in the sector.

The branded textile, apparel, garments, and high-value cotton shirting business constitute the majority of Raymond Group's revenue, accounting for 77 per cent of the total. Notably, the company has been rapidly scaling up in the ethnic wear segment with its new addition, 'ethnix,' alongside existing brands such as 'Raymond Fine Fabrics,' 'Raymond Ready to Wear,' 'Park Avenue,' 'Color Plus,' and 'Parx.'

After divesting its FMCG business, Raymond Ltd anticipates becoming debt-free, with a surplus of Rs 15 billion available for growth capital. The company is currently devising its capital allocation strategy.

Over the next 12-18 months, the group plans to open approximately 200 retail stores, with 100 dedicated to the ethnic wear brand and the remainder allocated to other apparel businesses. The majority of store additions will be carried out through the franchise model, although the company also intends to open flagship stores in prominent locations.

Raymond Ltd's shares have nearly doubled over a 52-week period, and the company has experienced over six-fold appreciation in value over the past decade.

Raymond is set to expand its real estate business by forming joint development agreements with other landowners and engaging in joint venture projects. Additionally, the company plans to monetise its substantial 60-acre land bank in Thane, Mumbai.Following the sale of its FMCG business to Godrej Consumer Products in May, the Raymond Group will focus on real estate through Raymond and the branded apparel business under Raymond Consumer Care, which is scheduled for listing.In the company's F23 annual report, Gautam Singhania, Chairman and Managing Director, stated that Raymond Realty will be a core business going forward, actively pursuing new projects and JDAs in the Mumbai Metropolitan Region (MMR) due to its significant growth potential.Currently, the company has launched three projects in Thane, with reported bookings of Rs 16 billion from these ventures last year. Two projects have already sold 80 per cent of their inventory, while the recently launched third project has sold a quarter of its inventory. The company foresees a total revenue potential of Rs 14 billion from this third project.Raymond Ltd recorded a revenue of Rs 83.37 billion, with the realty business contributing Rs 11.15 billion, a notable 58 per cent increase from the previous year. The realty segment also achieved an impressive EBITDA margin of 25.7 per cent in FY23. The company intends to expand its real estate operations beyond Thane in the MMR region.Godrej Properties, Macrotech Developers, Mahindra Lifespaces, Birla Estates, and L&T Realty currently dominate the MMR real estate market, with recent entrants seeking to establish their presence in the sector.The branded textile, apparel, garments, and high-value cotton shirting business constitute the majority of Raymond Group's revenue, accounting for 77 per cent of the total. Notably, the company has been rapidly scaling up in the ethnic wear segment with its new addition, 'ethnix,' alongside existing brands such as 'Raymond Fine Fabrics,' 'Raymond Ready to Wear,' 'Park Avenue,' 'Color Plus,' and 'Parx.'After divesting its FMCG business, Raymond Ltd anticipates becoming debt-free, with a surplus of Rs 15 billion available for growth capital. The company is currently devising its capital allocation strategy.Over the next 12-18 months, the group plans to open approximately 200 retail stores, with 100 dedicated to the ethnic wear brand and the remainder allocated to other apparel businesses. The majority of store additions will be carried out through the franchise model, although the company also intends to open flagship stores in prominent locations.Raymond Ltd's shares have nearly doubled over a 52-week period, and the company has experienced over six-fold appreciation in value over the past decade.

Infrastructure Urban

05 May 2026

Meghalaya And Assam Hold Talks To End Transport Stoppages In Garo Hills

Meghalaya and Assam have opened talks aimed at ending recent stoppages of commodity transport in the Garo Hills, officials said. The deputy chief minister, in charge of home affairs, reported that both state governments are coordinating to resolve disruptions and to restore normal movement of goods. He acknowledged that misunderstandings may have contributed to the incidents and that clarification between administrative units is under way. The discussions are intended to produce practical arrangements that will allow consignments to move without hindrance while respecting local procedures. The..

Infrastructure Transport

05 May 2026

Kochi Metro Records 1.375 mn Rise In Passengers In FY26

Kochi Metro recorded a marginal rise in ridership in the financial year 2025-26, carrying 1.375 mn more passengers than in the previous year. The service carried 36.8 million (mn) passengers in 2025-26 compared with 35.5 mn in 2024-25, representing a year-on-year increase of 3.9 per cent. The growth was described as distributed rather than concentrated in isolated spikes. A month-wise analysis shows steady gains across quarters. In the first quarter, ridership increased from 8.57 mn to 8.84 mn, while the second quarter rose from 9.13 mn to 9.51 mn. These trends indicated broad-based improvemen..

Infrastructure Transport

05 May 2026

Ghaziabad Plans 16km Metro Link To Delhi Via Hindon Airport

Ghaziabad authorities are pursuing a 16 km metro link to Delhi that will run via Hindon Airport, and a detailed project report is under way. The plan is intended to improve connectivity between Ghaziabad and the national capital and to provide an interchange with the airport. Officials said the project is being studied to assess alignments, station locations and cost estimates ahead of formal approvals and tendering. The announcement follows the inauguration of the Delhi?Faridabad metro extension, which will offer hassle free travel for around 0.2 mn daily commuters between the national capita..