Signify Innovations India Ltd. (formerly Philips Lighting India Ltd.), which surpassed pre-pandemic sales levels in 2021, expects double-digit growth for calendar year 2022.
“Not only did we achieve that Pre-pandemic sales growth levels in CY21 Q3, but also exceeded CY19 sales,” said Sumit Joshi, CEO & MD, South Asia.
“Due to pent-up demand, the opening up of the economy and government spending on infrastructure projects, we expect growth of 18 to 20% this year. In the first three months we saw growth of 25%,” he said.
Explaining that they face headwinds due to Ukraine-Russia conflict, inflation in India, pandemic in China and component shortages, he said India can withstand them as it is a consumption-oriented country.
According to him, Signify Innovation has seen growth in all segments, including professional and industrial lighting, retail and hospitality, with the exception of conventional lighting. But this has been fueled by significant growth in LED lighting and smart home lights.
On rising raw material costs, he said the company resorted to price hikes in 2021 after a rise in petrochemical and metals costs. To date, however, there has been no increase.
Mr Joshi, who was in town to open two new Philips smart light hubs, said there are currently 225 showrooms in the country and the number will increase to 300 by the end of 2022 and 500 in the next two to three years.
“South and North are the key regions for growth, with South accounting for almost 35-40% of total sales. This year we will have 100 of 300 showrooms in the south, over 100 in the north and the rest in the west and east regions. Most of them are owned by franchisees,” he said.