Kothari Industrial Corporation Ltd (KICL) is exploring opportunities in facility management services and other emerging businesses as part of its diversification strategy.
KICL has initiated new business initiatives, including FMCG and vending, which are expected to commence operations in FY27 and create additional growth avenues.
Facility management emerges as new opportunity
KICL is exploring facility management, housekeeping, manpower support, integrated operations and maintenance, logistics and allied services, said Executive Chairman & Managing Director, J. Rafiq Ahmed in a message to shareholders.
The a diversified business conglomerate is also evaluating institutional and government contracts, including opportunities with Indian Railways, public sector undertakings and large institutional organisations.
Outsourcing to create revenue opportunity
Growing outsourcing of non-core operational activities by government institutions, public sector undertakings, railways and corporates is creating opportunities for KICL.
The fertiliser to food to footwear company expects these new opportunities will help expand its service portfolio and establish recurring revenue streams across its emerging business segments.
Diversified portfolio supports growth
Favourable industry trends, technological advancements and evolving consumer preferences were supporting the company’s growth strategy.
KICL is seeking to strengthen its market presence by leveraging opportunities across fertilisers, footwear, drone and geospatial services, FMCG products, food services and publishing.
Fertiliser business remains established
The company’s fertiliser business is supported by an established distribution network, strong dealer relationships and a focus on quality products.
KICL expects sustainable farming practices, efficient nutrient management and expansion into value-added products to support the long-term growth of its agricultural business.
Footwear business targets expansion
The footwear business offers opportunities for expansion, with KICL focusing on product innovation, operational efficiency and customer-centric offerings.
The company aims to strengthen its competitive position and expand its market reach by improving its product portfolio and responding to evolving consumer preferences.
Drone business seen as high-growth segment
KICL considers its drone and geospatial services business a high-growth segment within its diversified portfolio.
The company expects to strengthen its capabilities in this area and capitalise on emerging opportunities in a rapidly evolving sector supported by increasing adoption of technology.
FMCG and food services in focus
The FMCG and food service businesses also offer growth opportunities, with the company focusing on strengthening its product portfolio and improving customer experience.
KICL plans to expand its distribution reach and enhance operational efficiencies as it develops these businesses and seeks to create additional growth avenues.
Focus on sustainable expansion
KICL said its diversified portfolio provides opportunities to build multiple growth engines while reducing dependence on any single business segment.
The company remains focused on sustainable growth by combining its established businesses with emerging opportunities in services, technology, FMCG and food-related segments.