Bannari Amman Spinning Mills has clocked a turnover of Rs. 875 crores during 2016-17 against Rs. 772 crores the previous year. The overall turnover of the company increased by 13.35% as compared to 2015-16 on account of higher sales realization.
Bannari’s principal line of business is manufacturing and marketing of cotton yarn, woven and knitted fabrics, home textiles, knitted garments and processing of fabrics. The company has two spinning units near Dindigul with an installed capacity of 1,44,240 spindles, a weaving unit at Karanampettai near Palladam with a capacity of 153 looms, a processing unit at Perundurai with an installed capacity to process 3,600 tonnes of fabric per annum, a knitting unit at Karanampettai with installed capacity to produce 7,200 tonnes of knitted fabric per annum, two garment units at Palladam hi-tech weaving park with a capacity to produce 60 lakh pieces of knitted garments per annum and 32 windmills with a capacity of 29.95 MW green power which is entirely used for captive consumption.
The yarn production in spinning units is proposed to be increased to 90 tonnes per day from the existing 75 tonnes by installing additional machinery in preparatory and autoconer sections without any increase in the existing spindleage. Work on the project has already begun. It is expected that the increased production, coupled with better product mix, will lead to improved profitability of the spinning units in the coming years.
The new garment unit at Bannari, which has become operational during the last financial year, has stabilized and is expected to contribute to the performance of the company in a significant way during the current year. The retail division of the company set up under the brand name “BITZ” has commenced operations and will be slowly expanded to Tier I & II cities in the coming years as the demand for apparel products is set to increase due to changing consumer preference.
The other divisions of Bannari Amman Spinning Mills, namely, Weaving, Home Textiles, Knitting and Processing, have stabilized their operations. Considering the above initiatives taken up by the company in spinning, garment & retail divisions, its overall performance is expected to improve further during the current year.