Safari Industries India plans capacity expansion via debottlenecking in Halol and Jaipur
What happened
Safari Industries India outlined a capital expenditure plan of INR2,300mn to increase manufacturing capacity by 6 lakh pieces per month through debottlenecking existing units in Jaipur and Halol. The company also has a provision to increase capacity by an additional 33% at the same location if needed. The expansion is expected to be complete by June 2028.
From moneycontrol.com
Why it matters
The expansion aims to address capacity constraints that previously limited top-line growth, which was reported at 9.1% amid stiff competition and raw material inflation. Management expects this capacity increase to lead to a topline CAGR of 13% over the next three years, with EBITDA margins projected to reach 13.4% by FY29E.
The board of directors had previously approved capital expenditure for growth, expanding manufacturing capacities in Halol and Jaipur.
From moneycontrol.com
Who's involved
- companyThe company undertaking the capacity expansion and debottlenecking operations.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
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The entities involved
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Halol
town in Gujarat state, India
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