Candytoy Corporate, a key player in the candy toys manufacturing industry, has secured a significant partnership with Reliance Retail, one of India’s largest retail giants. This strategic alliance will expand Candytoy’s footprint across 1,400 Reliance stores nationwide by the end of the financial year, marking a major step in the company's growth trajectory. With a strong portfolio of 75 SKUs and a growing presence in 40 countries, Candytoy plans to accelerate its revenue while exploring new avenues for investment, including an Initial Public Offering (IPO). Below is a detailed breakdown of the developments.

Strategic Partnership with Reliance Retail

Candytoy Corporate has secured a crucial partnership with Reliance Retail.
This agreement allows Candytoy to supply confectionery toys to Reliance’s network of 1,400 stores across India by the end of the financial year. Founder Director Gaurav Mirchandani revealed that the company currently has live orders for over 15 outlets, with plans to scale up to 200 outlets by Diwali. The full deployment across all 1,400 stores is projected to be completed by the financial year's close.

Revenue Projections Driven by Partnership

Monthly revenue from the Reliance Retail deal is expected to see exponential growth.
At present, the company is generating Rs 2 crore monthly from the initial 200 stores. This figure is set to double, reaching Rs 4 to 4.5 crore per month by the end of this fiscal year as the rollout progresses. This partnership is anticipated to be a cornerstone of Candytoy’s domestic growth strategy.

Expanding Product Portfolio

Candytoy offers an extensive selection of over 75 SKUs in both sweet and savory flavors.
These products are now available through Reliance Retail, reinforcing the company’s presence in the Indian market. This product diversification is expected to cater to a wide variety of consumer preferences, boosting sales and further strengthening its relationship with Reliance.

Global Operations and Expansion

Candytoy is a global player, with operations in 40 countries across three continents.
With five manufacturing plants and 11 contract manufacturers, Candytoy has become a significant supplier of candy toys and promotional items worldwide. The company works with prominent brands like Colgate Palmolive, Puma, Bournvita, and various airlines, showcasing its diverse client base and strong market position.

Financial Performance and Forecasts

Candytoy expects substantial revenue growth in the current fiscal year.
The company projects revenues between Rs 260 to 280 crore by the end of this fiscal year, with further growth expected to close next year at Rs 400 to 450 crore. The domestic market, which includes B2C sales and channel partnerships, is forecast to contribute Rs 200 crore, while the export markets are expected to bring in Rs 120 crore.

Future Funding and IPO Plans

Candytoy is in active discussions with large investors to fund its expansion plans.
The company is planning to divest around 10% of its equity to support future growth initiatives. Additionally, Candytoy is exploring the possibility of going public, with a potential IPO targeted for two to three years from now, likely after the 2026-27 financial year.

Operational Scaling for New Orders

The company is scaling up operations to meet new demand from Reliance and other clients.
Mirchandani highlighted that the company has already received significant purchase orders. However, fulfilling these orders will require the opening of new production moulds and facilities, with the results expected to materialize in the next financial year.