1. Sira large-format GVT/PGVT ramp-up - The Sira plant is already producing high-value GVT and PGVT in 60x120 cm and 80x160 cm sizes using new digital printing technology, with large-format tiles making up 46.7% of FY25 production. Larger formats command premium realisations, so mix improvement here directly lifts blended margins from the current \~15% OPM.
2. Karaikal plant full utilisation - Management plans to add ceramic floor tiles at the Karaikal facility to run it at full capacity, raising productivity and spreading overheads. Moving a plant from under-utilisation to full absorption drops unit fixed costs straight to the PBIT line.
3. Alternate fuel cost savings - Cashew Nut Shell and Tamarind Husk have replaced coal in spray driers, and kiln cycle-time reductions have cut fuel consumption further. Energy is the largest variable cost in tile-making; a permanent shift to cheaper fuel widens gross margin without any revenue growth.
4. Raw material backward integration - In-house ball-clay and feldspar processing plants now remove impurities that previously limited brightness, and an indigenous clay substitute for imports has been validated at scale. Substituting imported clay with local alternatives lowers raw material cost and insulates input sourcing.
5. Company-owned retail expansion - 73 'NAVEEN' and 'Naveen Diamontile' showrooms now operate across A, B, and C-grade cities, supported by 42 depots. A direct-to-consumer network captures the retail margin that would otherwise go to dealers, improving realisations per square metre.
6. Power efficiency rollout - 400 KVA UPS systems per kiln prevent fuel and power waste during outages, and variable-frequency drives on ball mills are being tested to cut peak voltage draw. Lower electricity consumption per unit of output reduces a fixed production cost that flows through to EBITDA.