Amit Agarwal, Raymond CFO, has hinted at a ‘very strong demand’ for the next 6 months. The lifestyle business is expected to see at least a 30 percent increase in demand over the next two quarters, according to Amit, who does not expect any immediate impact from price increases. He believes demand is very strong and promising. Due to the pandemic, buyers are now celebrating Dussehra and Diwali simultaneously for the first time, and the wedding season will increase demand. This holiday season, Raymond expects significant profitability and revenue.
The Federal Reserve raised interest rates by 75 basis points at its last meeting. Similar increases can be expected, if not all at once, then perhaps gradually. Ultimately, rate hikes are a global phenomenon, and India is no exception highlights Amit.
However, local markets are experiencing exceptionally robust demand. As interest rates continue to rise, they will focus on finding new ways to raise money, possibly through the use of foreign debt. Both exports in dollars and international remittances will increase the country’s liquidity.
According to Amit, conditions in the world will continue to change, and it will be important to determine how they will affect India. It was not anticipated that the pound would fall so much against the dollar. Even though domestic demand is high, India is still affected by external variables.
The rupee’s decline favours Raymond’s dollar-denominated exports, but as they also compete in European and UK markets, where currencies are also weakening, the benefits are mitigated. To moderate the currency impact, Raymond will look at focusing more on consumers with dollar-denominated customers.