Stove Kraft - Backward Integration, Cost Reduction Measures To Increase Operational Efficiency: Dolat Capital

Dolat Capital Report

Stove Kraft Ltd.’s Bengaluru facility is an integrated facility comprising multiple manufacturing units spanning across 46 acres of land. Of this area, ~20 acres is available for future capacity expansion, which is expected to be utlilised in ~three years.

With an annual capacity of 56 million, this facility manufactures pressure cookers, non-stick cookware, hard anodised cookware, mixer grinders, induction cooktops, etc.

The company enjoys strong brand recall for its ‘ for money’ Pigeon brand, volume leadership in key categories and wide distribution reach.

Stove Kraft is exploring backward integration and cost reduction measures to increase operational efficiency. Government support for local manufacturing with schemes like 'Make in India' should bode well for the company.

A burgeoning middle class, urbanisation and rise of nuclear families, are expected to provide a thrust to the kitchen appliance industry.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.