Consumer electronics company Croma’s parent company Infiniti Retail has reportedly registered a 5 per cent increase in total income in 2020-21 to Rs 5,449 crore, while its net loss was lower by 1 per cent at Rs 201 crore, the company’s regulatory disclosures show.
The company’s sales grew despite the pandemic-led lockdowns and restricted store operating hours.
Two industry executives, an Economic Times report said, attributed this to high demand for smartphones, laptops and appliances as the intermittent lockdowns continued till the Diwali quarter.
All leading electronics companies, including LG, Samsung, HP, Lenovo, Xiaomi, Apple and Realme had posted their best-ever sales during the Diwali festival.
Croma’s FY21 earning from online sales was 350 per cent higher than the previous year’s.
In the disclosures made to the Registrar of Companies, Croma said it launched a record number of stores last fiscal, driven by the shift from unorganised to organised retailing, which was bolstered by development of the digital economy.
As per RoC filings, analysed by business intelligence firm AltInfo, Infiniti Retail did not raise capital from the parent group last fiscal. In April this year, it raised Rs 250 crore.
“The limited infusion of capital in the company last year has impacted growth rate, but the company has shown tremendous growth in managing its expenses and is almost on the verge of profitability,” said AltInfo founder Mohit Yadav.
He said Infiniti’s net loss has remained at the same level for two years despite increasing revenue, which indicates an attempt is being made to turn the entire operation sustainable.