Orient Press eyes 15% growth

Maheshwari added, "There was some reduction in total income and profitability of printing division. However, overall profit margin was better.  The performance of the packaging segments during the year was not up to the mark in spite of increase in total income. This was mainly due to increase in raw  material prices and other costs and very high currency movements during the year due to raw material  prices." 

As per the data capture in mid-2014, the turnover of the printing division decreased by 26% as compared to the previous year due to low level of IPO issue printing and slowdown in the economy.

However, Maheshwari added, "the flexible packaging division of orient increased by 22.59%.  Also, the turnover of the paperboard carton division increased by 14.50% as compared to the previous year (2013)." Both turnovers should rise with increase in capacity utilisation of new printing machines. In addition, Orient has also installed an automatic board to kraft fluting
lamination kit.

Maheshwari said, "All these machines and equipment will help Orient to enhance its business opportunity in value-added printing and packaging sector and in the export market.

Maheshwari assessed the present scenario of the printing industry, "As fragmented and dominated by a few big players. The printing and packaging industry is a service provider and it is co-related with the GDP growth of the country as well as the growth of country's educational sector. Since the GDP growth of the country is pegged at 7%, it provides a lot of encouragement for growth of printing and packaging industry." 

Maheshwari said, "In the present business scenario and with a robust GDP growth, Orient is expecting 10% to 15% growth in its business, at least, for the next three years."

He concluded, "Orient Press has also increased its share of business in exports and will continue to do so in the future. We expect at least 10% growth in this field. Orient Press is constantly upgrading its technology to cater to this market and we expect that in three years our 25% to 30% earnings will be from the export sector which stands at 22%." Orient Press has received the Export House status from the Government of India for its consistent export performance.

Orient Press with multi-locational plants is engaged in manufacturing activities comprising printing of capital market stationery, commercial printing such as text books, annual reports etc., security printing like MICR cheques, dividend warrants, shares and debenture certificates, railway
tickets and  coupons, computer stationery, telephone cards (scratch cards), smart  cards, recharge coupons and note books etc. But where Orient is gaining traction is, in packaging activities which include flexible packaging material of multi-layer film laminates, paper board mono cartons, liner carton, display cartons and outer corrugated boxes, etc.