Peerless group poised for growth, targets Rs 1,000 crore turnover

The Peerless group is charting out a growth plan that will take its turnover to around Rs 1,000 crore in the next three years.

Peerless completed the Reserve Bank of India-mandated turnaround plan a few years ago and is now looking at the next phase of growth. Jayanta Roy, managing director, The Peerless General Finance & Investment Company (PGFI), the holding company, said that in the next three years, Peerless should leapfrog.

Two momentous occasions are coming up for Peerless – the centenary of B K Roy (elder son of founder, Radhashyam Roy) in 2025 and the centenary of Peerless in 2032, pointed out Roy. And goals are being set for business transformation within the timeframe.

The major verticals for Peerless are: healthcare, hospitality, real estate, and financial services. A major expansion for has already been chalked out that will see Peerless adding 300 beds to the existing 400 now. The rest are on the drawing board right now.

PGFI’s revenues for the year ended March 31, 2022, had stood at around Rs 498 crore while profit for the year was at 102.76 crore. But pre-Covid, turnover was in the region of Rs 535 crore.

“Definitely in terms of size we are going to grow – overall and individual businesses,” said Partha S Bhattacharyya. Bhattacharyya, former Coal India chairman, is the newly appointed non-executive chairman of Peerless.

Bhattacharyya said that an assessment was being done on which business has what kind of potential, the opportunities that can be tapped and its enablers were being identified.

Bhattacharyya took over from S M Datta, who had been a member of the board since 1996 and chairman since 2014. His association with Peerless goes back to the time when the had set criteria for a turnaround plan for Peerless.

At that time Peerless had a negative net worth of Rs 600 crore. From that level, today, it stood at a positive Rs 2,000 crore, pointed out Bhattacharyya.

Reminiscing, Datta said, a band of people came in 1996 to help Peerless overcome some of its organisational and financial problems that it encountered and to set the course whereby it will not only overcome those problems but meet the criteria that was set by the regulator so it can continue to operate profitably in the financial sector.

“That task has been completed quite a few years ago and today, it marks an end of the recovery period. Today, as I handed over charge, what has happened is that it is a new Peerless that is being born today. The old history can be forgotten,” said Datta.

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