Asian Granito’s stock surged nearly 9 per cent on 26 December, fueled by the launch of its sanitaryware manufacturing arm, AGL Sanitaryware. This marks the company’s big push into the bathroom market, leveraging its existing expertise in tiles.
At 1.39 pm, shares of the company were trading nearly 6 per cent higher at Rs 75.85 on the National Stock Exchange (NSE).
AGL Sanitaryware’s brand new plant in Morbi, Gujarat, India’s ceramic hub, boasts an initial capacity of 0.66 million pieces per year. This move frees Asian Granito from reliance on third-party manufacturers and imports, allowing it to tap directly into the lucrative sanitaryware market.
“Previously relying on third-party manufacturers and imports, the company aims to leverage its extensive marketing and distribution network for tiles to establish a formidable presence in the sanitaryware sector,” Kamlesh Patel, chairman and managing director of Asian Granito India, stated in an exchange filing.
“The company envisions rapid growth and an increased market share in the sanitaryware space in the coming time. We expect a turnover of around Rs 400 crore from sanitaryware and bathware division in the next five years,” said Hiren Patel, associate at AGL Bathware division.
The company’s long-term vision revolves around achieving a total revenue of Rs 6,000 crore.
