Versuni India, the local unit of Netherlands-based kitchen appliance maker Versuni Group BV, aims to expand its manufacturing capacity to achieve 90% localisation, said Managing Director and CEO Gulbahar Taurani. The company, formerly known as Philips Domestic Appliances India Limited, was rebranded in 2023 as Versuni India Home Solutions Limited, along with its parent firm.
"Today, roughly 70% of what we sell in India is locally manufactured. Our goal is to take that number closer to 90% in the next few years. Our roadmap includes expanding capacities at Ahmedabad and Chennai, and bringing in new lines for products like air fryers, hand mixers, and garment steamers. We’re also working closely with our co-makers to localise more components," Taurani said in an interview with Outlook Business.
Philips Domestic Appliances was sold to Chinese investment firm Hillhouse Capital in 2021 by its original owner, Dutch multinational health technology company Royal Philips. The company continues to operate Philips consumer brands as a licensee of Royal Philips. In India, it sells kitchen appliances under the Philips and Preethi brands.
In January 2024, Versuni India opened its second manufacturing unit in Ahmedabad, Gujarat. The new facility will locally manufacture Philips air fryers and garment steamers. Phase 1 targets annual production of 500,000 air fryers, followed by 200,000 garment steamers in Phase 2 — with total capacity scalable to one million units. For the first time, Philips air fryers are being made in India using a fully automated robotic coating line.
According to the company’s FY24 annual report, Versuni’s Chennai unit has an annual production capacity of 1,764,100 mixer grinders, 1,405,300 motors, and 120,000 gas stoves.
Versuni’s total revenue in FY24 stood at ₹17,569 crore, down 2.17% from ₹17,959 crore in FY23. Profit after tax declined by 16.69%, falling to ₹1,207 crore from ₹1,449 crore in the previous year. The company attributed the decline to a series of challenging market conditions, including a "subdued consumer spending environment," which put pressure on its topline growth.
Versuni India noted that although rural demand has shown some recovery, it has not been uniformly strong.
"However, I read this as a strong message from consumers to the industry — the industry needs to innovate and give consumers compelling reasons to upgrade. Brands and offerings like ours that have done so have reaped the benefits," Taurani said.
While Taurani did not share specific financial highlights for FY25, he stated that the company had grown ahead of the industry average and strengthened its leadership position.
"Growth has been driven by key categories like mixer grinders, air fryers, garment steamers, and steam irons. What’s even better is that this growth has been profitable. We’ve seen significant traction from Tier 2 and Tier 3 cities, where aspirations for quality and branded appliances are rising quickly. Overall, we’re exiting the year on a strong footing, with a healthy pipeline of innovations and market expansion plans," he explained.
Update on Listing Plans
Last month, Moneycontrol reported that Versuni India had selected Kotak Mahindra Capital and Citi for a potential initial public offering.
The company CEO Taurani declined to comment on what he called "market speculation" or any "specific plans." He added that an ideal environment for the company’s IPO would be one where "market sentiment is stable, consumer demand is robust, and investors are looking to back companies with strong fundamentals and trusted brands."
"India is a key market for Versuni globally, as reflected by the opening of our new factory at the beginning of 2024. At the same time, we will continue to critically evaluate and optimise our capital structure," he said.
