FirstCry is eyeing higher profit and revenue growth by expanding its offline presence in baby-care and kid-wear segments, Managing Director and Chief Executive Officer Supam Maheshwari said on Tuesday, after the parent Brainbees Solutions Ltd. listed at a 40% premium over the issue price.
"We believe we can further compound growth in our topline and bottom line. We are here to build a new-age retail playbook for India," he told NDTV Profit, adding that the segment that FirstCry operates in is growing at 20% annually.
Given the demographics, FirstCry will continue to demonstrate volume and value growth in India, as well as growth in other markets like Saudi Arabia and the UAE, he said. India is the world's most populous country, with a young population and a growth trend near replacement level.
FirstCry Parent Brainbees Solutions Shares End 46% Higher Over Issue Price
Maheshwari said the company will use the Rs 1,666 crore raised through the IPO for retail store expansion, brand and technology investments, and subsidiary expansion. He explained that the online share of multichannel sales in India is 75%, and the rest is offline. Globally, it is 100% online.
On capex plans, the CEO said the company has sufficient capacity to manufacture diapers through internal accruals. "From a retail standpoint, we are small compared to the $66 billion Indian market. There is no capacity constraint to grow."
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