Bhilwara based textile giant Sangam India Ltd., is adding a new unit for a new product category, seamless garments, which is expected to start production by the end of the current fiscal year. Investing Rs. 120 crore for this product category, the company will offer a complete range of seamless garments for men and women. Talking to Apparel Online, S N Modani, the soft spoken MD of the company shared that the market for new product will be equally focused on exports as well as domestic. “As we are already exporting to our textile products in many countries, export is very important for us,” said Modani.
Under the project, Sangam plans to setup 10,000 spindles for slub yarn, a mercerizing unit and 36 circular knitting machines of Santoni, Italy to manufacture 10,000 pieces of seamless garments per day. According to Modani, the new investment will add around Rs. 150-175 crore to the company’s topline from the next financial year.
In the meanwhile, the company has announced an annual dividend policy and it will pay 20-25 per cent of annual net profit as dividend to shareholders from current fiscal. Sangam (India) is one of the few Indian companies to announce such an annual dividend policy for its stakeholders. In last quarter, the company got 88.05 per cent rise in net profit at Rs. 11.34 crore compared to Rs. 6.03 crore in the corresponding quarter of the previous year while net income during the period stood at Rs. 372.93 crore compared to Rs. 367.52 crore in the previous year. The Group has more than 2,00,000 spindles and 4,000 rotors for producing PV dyed yarn, cotton and OE yarn. It is strongly present in the domestic branded apparel market.
