Goblin India Ltd Management Discussions

Established in 2001, Goblin has built its trust and goodwill in the luggage industry by providing its customers with the best and the latest travelling gear solutions. Over the years, Goblin has become one of the top brands in India by providing strong and durable luggage along with corporate promotion solutions. With its headquarters and manufacturing plant based in the city of Ahmedabad, Gujarat, it has gained a significant foothold in the local markets as well as across the nation. Goblin currently has over 525 dealers across India and over 300 dealers in France. With the help of constant efforts, Goblin aims to automate and innovate its range of products making travelling user-friendly for all its customers.

Since its inception in Ahmedabad, the urban heartland of Gujarat, Goblin has been a leading travel lifestyle brand. Today, Goblin profoundly crafts aesthetically designed luggage targeted to modern travel requirements.

Our diversified institutional client base is built by providing exceptional quality services and nurturing long-term relationships. We cater to appropriately 100 direct corporate clients across numerous sectors. We specialize in corporate gifting for brand promotions and brand reminders.

TRAVEL GEAR INDUSTRY MARKET DEFINITION:

The travel gear market in India encompasses a wide array of products designed to enhance the travel experience. This includes luggage (suitcases, backpacks, duffel bags), travel accessories (pillows, blankets, chargers, organizers), and other related items. The market is driven by the booming travel and tourism industry, increasing disposable incomes, and a growing preference for convenient and comfortable travel solutions.

GLOBAL OUTLOOK IN TRAVEL GEAR INDUSTRY:

Global luggage market is projected to witness a CAGR of 7.22% during the forecast period 2025-2032, growing from USD 23.12 billion in 2024 to USD 40.39 billion in 2032. The market has experienced significant growth in recent years and is expected to maintain a strong pace of expansion in the coming years.

The luggage market is experiencing growth due to an increase in global travel. The rise of disposable income and affluence is fueling the demand for luggage. Furthermore, advances in luggage technology such as GPS tracking, and USB charging ports are sustaining a tendency for continual market expansion. As international and domestic travel continues, both business and leisure travelers are driving demand for durable and versatile luggage solutions. Urbanization and professional mobility further contribute to the market expansion, as consumers seek practical and stylish products tailored to modern lifestyles. Moreover, the rise of e-commerce platforms has made luggage more accessible by allowing brands to reach wider audiences. This is complemented by growing interest in sustainable and innovative luggage options including smart features like GPS tracking and USD charging. Additionally, a shift towards eco-friendly materials reflects changing consumer values around sustainability. Source: https://www.marketsandata.com/industry-reports/luggage-market

INDIA BAGS AND LUGGAGE MARKET SIZE AND SHARE OUTLOOK - FORECAST TRENDS AND GROWTH ANALYSIS REPORT (2025-2034):

The India bags and luggage market size was valued at USD 16.2 Billion in 2025. The industry is expected to grow at a CAGR of 7.66% during the forecast period of 2025-2034 to reach a value of USD 25.09 Billion by 2034.

The bags and luggage market in India is poised for expansion with the surge in the number of stores to offer more tactile and personalised shopping experiences to consumers. In November 2024, luggage and accessories brand Uppercase disclosed plans of reaching a total of 100 of brick-and-mortar stores by 2027 to tap into Indias booming luggage and bag industry. The deployment of RFID technology in laptop bags is helping cater to tech-savvy individuals. The growing incursion of USB charging and digital locks in modern luggage will also boost the industry growth.

Indias strategic relevance in the bags and luggage market is underscored by its large and youthful population, booming travel and tourism industry, and increasing inclination toward branded goods. World Travel & Tourism Council (WTTC) predicted a 7% annual growth rate for Indias travel and tourism sector over the next decade, with its economic contribution reaching 10%. This growth is driven by increasing domestic travel and a surge in outbound tourism, necessitating reliable and versatile luggage. Further, India is among the fastest-growing source markets for tourism to the United States, with 2.2 million Indians visiting in 2024, marking a 24% increase from the previous year. This surge highlights the growing appetite for international travel among Indian consumers and is driving demand for durable, premium luggage suited for long-distance journeys.

Source:https://www.expertmarketresearch.com/reports/india-bags-and-luggage-market

TRAVEL ACCESSORIES MARKET OUTLOOK FROM 2025 TO 2035 IN INDIA:

The travel accessories market is expected to witness steady growth from 2025 to 2035, driven by the increasing number of leisure and business travellers, advancements in smart travel technology, and rising demand for convenience-enhancing products. The industry is projected to expand from USD 57.5 billion in 2025 to USD 108.78 billion by 2035, reflecting a CAGR of 7.2% over the forecast period.

The industry is experiencing steady growth which is driven by increasing tourism, business travel, and the increasing demand for convenience-focused products. As travellers look for greater comfort, organization, and security, demand for accessories like neck pillows, luggage organizers, travel adapters, and RFID-blocking wallets has increased tremendously globally.

A primary impetus of this industry is the increasing desire for smart and multifunctional travel accessories. Buyers are becoming more inclined to seek compact, lightweight, and technology-infused accessories, like power banks, GPS-equipped luggage tags, and anti-theft backpacks. Furthermore, increased interest in experiential tourism and solo travel has boosted the demand for good-quality, durable products.

Although it is expanding, the industry has some constraints. One such significant constraint is the effect of economic downturn and travel bans on consumer expenditure for discretionary travel-related products. The other constraint can be competition from low-quality and counterfeit products that can slow the uptake of premium products.

However, much opportunity exists within the sustainable and luxury travel accessory industry. Individuals are seeking environmental options increasingly, such as biodegradable traveling items and reusable toiletry cases. Also, expansion of direct-to-consumer and e-commerce channels has rendered it more accessible, allowing businesses to engage in fronting an even larger pool of consumers with more targeted merchandise.

The industry is trending towards the growing use of minimalist and space-efficient designs, the incorporation of smart technology to enhance security and convenience. One more trend among the industry that is taking shape is the increasing requirement for health and hygiene-focused products.

SHIFTS IN THE MARKET FROM 2020 TO 2024 AND FUTURE TRENDS 2025 TO 2035:

During 2020 and 2024, the industry experienced fluctuations due to worldwide lockdowns on tours but came back with full strength with revenge tourism and travel picking up speed. The demand for compact, multifunctional, and tech-enabled accessories also grew, and travellers desired compact power banks, RFID-blocking card cases, and neck pillows with ergonomic designs.

Samsonite, Tumi, and Away were among the brands offering lightweight and durable bags with intelligent tracking technology, courtesy of environmentally conscious travellers making eco-travel kits from recycled or biodegradable material mainstream. Digital nomadism also drove innovation in laptop-friendly travel bags and noise-cancelling headphones to a Company work-on-the-go convenience.

From 2025 to 2035, sustainability and intelligent travel solutions will characterize the industry. Be prepared for AI-enabled packing assistance, intelligent cases with auto-follow technology, and self-disinfecting travel kits to be trendy. Brands will integrate biometric security aspects in travel items such as fingerprint-protected bags and voice-enabled passport wallets.

Smart consumers will be the drivers for zero-waste products, pushing brands to provide biodegradable bathroom accessories, solar-powered power banks, and plant-based travel bags. With Hyperloop travel and space tourism in the spotlight, high-tech products for these modes of adventures will be a new category.

Source: https://www.futuremarketinsights.com/reports/travel-accessories-market

KEY TRENDS AND RECENT DEVELOPMENTS:

The travel gear industry is currently undergoing a significant transformation, driven by technological innovations, evolving consumer preferences, and increasing emphasis on sustainable practices. This section provides a detailed explanation of the key trends and recent developments shaping this dynamic market:

SMART LUGGAGE AND TECHNOLOGICAL INTEGRATION

Smart luggage features: Modern luggage now incorporates features such as GPS tracking, USB charging ports, remote lock systems, and built-in digital scales.

Convenience and connectivity: These innovations address the need for modern travelers to have increased security, effortless travel, and continuous connectivity.

SUSTAINABILITY AND ECO-FRIENDLY MATERIALS

Eco-conscious travel: Growing environmental awareness is driving demand for sustainable travel gear.

Recycled and biodegradable materials: Products made from recycled plastics, organic cotton, bamboo, and other eco-friendly materials are becoming increasingly common.

Ethical Production: Consumers also favor brands that use ethical manufacturing and offer recyclable packaging.

Examples: Some Companies utilize recycled PET bottles for creating their products. Rimowa has partnered with Eco-Age to launch a collection made from recycled aluminum and polycarbonate. Paravel and Solgaard also offer trendy suitcases made from recycled plastic bottles.

CUSTOMIZATION AND PERSONALIZATION

Personalized travel gear: Travelers seek to express their individuality through customized luggage designs, colors, and features.

Modular and adaptable solutions: Versatile luggage solutions that adapt to various types of travel, such as convertible bags, expandable designs, and modular systems, are gaining momentum.

LIGHTWEIGHT AND DURABLE DESIGN:

Ease of travel: Travelers increasingly prioritize lightweight yet durable luggage for easier navigation through airports and during transport.

Advanced materials: Manufacturers are employing materials like polycarbonate and high-strength fabrics to reduce weight while maintaining durability.

Examples: Carbon fiber and aluminum are replacing traditional materials like nylon and polyester in premium and luxury luggage lines, according to market research intellect.

OPPORTUNITIES IN THE INDIAN TRAVEL GEAR INDUSTRY:

The Indian travel gear industry is experiencing a dynamic transformation, offering substantial opportunities driven by a confluence of evolving consumer behaviour, technological integration, and a thriving tourism sector. Heres a detailed exploration of the key opportunities shaping this landscape:

Growing disposable incomes and travel aspirations: Indias expanding middle class, armed with increasing disposable incomes, is fuelling both domestic and international travel, expanding the market for travel gear.

Government Initiatives & infrastructure development: Initiatives like "Dekho Apna Desh" and enhanced air connectivity through schemes like RCS UDAN are promoting domestic travel and fostering the growth of the overall travel ecosystem.

Diverse travel segments: The rise of adventure tourism, fuelled by Indias diverse topography, necessitates specialized gear such as backpacks, hiking footwear, and camping equipment. Cultural tourism creates a market for heritage-inspired accessories, handicrafts, and souvenirs.

Hard-shell and Lightweight Materials: The demand for lightweight, durable luggage, especially hard-shell options, is on the rise, influenced by air travel regulations and the need for robust protection for belongings.

Omni channel Strategies: A combination of online and offline retail channels is crucial for reaching a broader audience and providing a seamless customer experience.

Niche Accessories: Developing and marketing specialized products for specific activities, like trekking or wildlife safaris, can capture a dedicated customer base.

Focus on design and aesthetics: Beyond functionality, consumers are increasingly seeking aesthetically appealing travel accessories that complement their personal style.

Strategic collaborations: Partnerships with clothing brands or other travel-related services can expand market reach and brand awareness.

Government support and investment: Government initiatives promoting tourism and improving infrastructure create a favourable environment for the travel gear sector.

The Indian travel gear industry is poised for significant growth, fuelled by rising incomes, evolving consumer preferences, technological integration, and a thriving tourism sector. Brands that focus on innovation, cater to evolving consumer preferences (including sustainability and tech integration), and leverage Omni channel distribution strategies will be well-positioned for success in this dynamic market.

Risks and challenges facing the travel gear industry in India:

The Indian travel gear industry, while experiencing growth, faces a unique combination of risks and challenges. Key among these are intense competition and price sensitivity, the proliferation of counterfeit products, disruptions in the supply chain, evolving consumer preferences, infrastructure and regulatory hurdles, and broader economic uncertainties.

Intense competition and price sensitivity:

Fragmented Market Structure: The market is highly fragmented, with competition from both established players like VIP and Samsonite and smaller, unorganized manufacturers. This makes it difficult for brands to differentiate themselves and maintain consistent pricing and customer experience across the market.

Price Sensitivity: A significant portion of Indian consumers, especially outside metropolitan areas, prioritize cost over brand loyalty. This forces brands to offer competitive pricing and deals, impacting profit margins and making it difficult to pass on rising raw material costs.

Deep Discounting: To retain market share, legacy brands often resort to deep discounts, further intensifying the price-driven competition.

Proliferation of counterfeit products:

The availability of counterfeit luggage and travel accessories is a significant challenge.

The high cost of premium luggage creates a lucrative market for replicas, especially in Tier-II and Tier-III cities.

These fake products not only erode sales but also damage the reputation and customer trust of genuine brands.

Evolving consumer preferences and sustainability concerns:

Demand for Sustainable Products: There is a growing demand for eco-friendly and sustainable travel gear. While an opportunity, meeting this demand requires investment in new materials and processes, potentially increasing costs and requiring brands to balance sustainability with affordability.

Shifting Preferences: Consumers are seeking lightweight, durable, and technologically advanced products, along with minimalist and space-efficient designs according to Future Market Insights. Brands need to innovate and adapt quickly to keep pace with these changing preferences.

Health and Hygiene: Heightened concerns about health and safety, especially after the pandemic, are driving demand for hygiene-focused products, creating new opportunities and challenges for brands.

ECONOMIC UNCERTAINTIES:

Economic Downturns: Economic downturns and market volatility directly impact consumer spending on discretionary items like travel gear.

Impact on Travel and Tourism: Fluctuations in the tourism sector, whether domestic or international, can have a ripple effect on the travel gear industry.

Inflationary Pressures: Rising inflation can impact manufacturing costs and consumer purchasing power, challenging businesses to manage profitability while maintaining affordability.

INDIA LUGGAGE AND BAGS MARKET TREND:

Smart &Tech-Enabled Luggage & Bags Gaining Traction In India, the population of tech-savvy customers is increasing, especially among the middle and upper-middle classes and the demand for bags with features such as GPS tracking, USB charging ports, etc is increasing. Moreover, 2019-2023 Companies like Air wheel SE3S, Arista Vault, etc., have introduced electric motorized luggage carriers. Owing to this, there would be a wider adoption of smart, technology-integrated travel accessories, which is anticipated to further increase the introduction of smart bags from other Companies as well.

INDIA LUGGAGE AND BAGS MARKET (2024-30) SEGMENTATION ANALYSIS:

The India Luggage and Bags Market study of MarkNtel Advisors evaluates & highlights the major trends and influencing factors in each segment. It includes predictions for the period 2024 2030 at the national level. According to the analysis, the market has been further classified as:

Based on Product Type:

Bags

Cross Body Bags Bags and Backpacks Business Bags Duffle Bags Clutches

Others (Tote Bags, Wallet and Coin Pouches, Other Small Bags, etc.) Luggage Soft Luggage Hard Luggage

Wheeled Luggage & non-wheeled luggage

In India, bags, especially duffle bags, have registered noteworthy demand in comparison to other types of luggage and bags. These duffle bags are more affordable than other bags, which has made them a suitable option for the price-sensitive Indian market. Moreover, consumers in India prefer luggage options that can be easily stored when not in use. Due to this, duffle bags are increasingly being adopted as they cater to the living conditions in Indian households. Along with this, these bags are versatile, owing to which they can be used for a wide range of activities like gym visits, weekend trips, etc. With the rising number of gym goers and increased participation of the population in sports activities in the country, the demand for duffle bags is projected to increase in the years to come as well. Furthermore, the soft structure of these duffle bags allows for more flexible packing, which is particularly appealing. Based on Distribution Channel Offline Dealers & Distributors Retail Stores Online

The online distribution segment has experienced significant growth in the India Luggage and Bags Market due to factors such as the growing penetration of internet connectivity and the increasing popularity of e-commerce platforms. This has made it easier for consumers to browse, compare, and purchase luggage and bags online. Accessibility to E-commerce platforms has expanded the reach of manufacturers and retailers, allowing them to target a wider audience beyond traditional brick-and-mortar stores.

Furthermore, e-commerce platforms are evolving by catering to the need for budget-friendly products. This is projected to provide new opportunities for affordable brands that aim to reach out to the maximum number of customers across the country. In 2024, Amazon India launched a vertical called Bazaar for affordable, unbranded fashion and lifestyle products. The platform would provide a vast range of products, including apparel, watches, shoes, jewelry, and luggage, among others.

Additionally, online channels offer consumers a diverse range of products, including both domestic and international brands, catering to varied preferences and budgets. The convenience of doorstep delivery and the availability of multiple payment options further enhance the appeal of online shopping for luggage and bags, particularly among busy urban consumers. Moreover, the ability to access customer reviews and ratings online helps shoppers make informed purchasing decisions, fostering trust and confidence in online transactions. As a result, the online distribution segment continues to experience robust growth, playing a pivotal role in driving demand for the India Luggage and Bags Market.

[Source: India Luggage and Bags Market Research Report by MarkNtel Advisors: Forecast (2024-2030)]

BUSINESS OVERVIEW & DEVELOPMENT:

Goblin, a distinguished travel lifestyle brand, is committed to delivering premium-quality travel gear at affordable prices, helping retailers maintain healthy margins. With a reputation for innovation and durability, Goblin has become a trusted name in the Indian luggage industry. Our company is steadily enhancing its manufacturing and production capabilities, focusing on premium quality, modern design, and trending products at competitive prices. We aim to evolve Goblin into a globally recognized brand that inspires the spirit of travel. Driven by a strong digital presence and consistent efforts in online marketing, we are experiencing robust growth and increased sales. Goblin is actively present on leading e-commerce platforms such as Amazon and Flipkart, allowing us to reach a wider audience and expand our customer base. With years of dedicated service, Goblin has emerged as a key player in the Indian luggage sector, known for its durable products and customized corporate promotional solutions. We continue to expand our footprint across India and global markets, guided by a mind-set focused on innovation, quality, and customer satisfaction.

BUSINESS SEGMENT:

Corporate Promotion/gifting: Goblin caters to a total of 150 direct corporate clients & 15 channel partners across India in various Industry sectors such as Pharma, FMCG, Infrastructure etc. Current client list includes the top 5 pharma companies of India such as Torrent, Lupin, Corona Remedies, IIMA, Nirma, Sun pharma, Pidilite, Nerolac etc.

Multi-brand Outlets: Goblin has its presence in the Multi Brand Outlets (MBOs) with over 108 direct dealers and distributors and 417 indirect dealers across India. It offers a variety of Travelling Gears including Hard Luggage, Soft Luggage and other accessories like wallets, purses, travel neck pillow.

OEMs: Goblin on the basis of contract manufacturing customizes and produces Travel Gears for large OEMs.

France: Goblin has over 300 dealers in France and a huge distribution center of travel gears in Paris along with an exclusive showroom. A team strength of 7 professionals in France manage its distribution and corporate gifting business. Our USP in France is the ability to provide a large variety of products and after sale services.

OUR STRENGTHS:

Innovative Products: We pride ourselves in our internal production design and research team, who are dedicated to launching new products that are at the forefront of design & innovation with latest technology & features. Unmatched Prices: Our Research and Development Team manages to provide tech savvy, trendy luggage and travel accessories along with the trust of our brand at revolutionary prices. Widest Range of Travel Accessories: Goblin offers a vast range of stylish and quality travel accessories ranging from superior hard and soft luggage to neck pillows and everything in between.

FUTURE OUTLOOK:

The Company has continued to grow ahead of the market and will continue to build on this momentum. It has a focused strategy on identified channels, categories and consumer segments that are expected to drive market growth. The Company has also made significant investments in modernising and improving its manufacturing and production capacity. These improvements will help the Company in reducing costs and making its supply chain leaner and more responsive to the changing market. Additionally, the Company has introduced a new business segment which is a dedicated segment for ladies handbags and accessories. Moreover, the Company intends to keep improving price realisation through product mix improvement. While there continue to be some uncertainties, the overall growth drivers are well in place for the Company to continue on a high growth trajectory with improving profitability.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY:

M/s. A.D. Brahmbhatt & Co. were appointed as the Internal Auditors of the Company to review internal controls periodically with specific reference to evaluation of the current business processes, identify gaps, inefficiencies, process exceptions and suggest action plans, verify adherence to risk mitigation plans, to review sourcing and supply chain management, plant operations and effectiveness, sales planning and distribution channels, branches of the Company, warehouse and retail operations, to provide assurance regarding various compliances by assessing the reliability of financial controls and IT controls and compliance with applicable laws and regulations. The Company has a regular check on expenses including capital expenditure. The Company has documented policies and SOPs with regards to all major activities. The Internal Auditors submit their reports to the Audit Committee half yearly. The management considers and takes appropriate action on the recommendations made by the Statutory Auditors, Internal Auditors and the Audit Committee of the Company. Significant policies with changes during the year, if any, are disclosed in the notes to the financial statements.

FINANCIAL HIGHLIGHTS:

STANDALONE BASIS:

During the year under review i.e. 31^st March, 2025, the Company has achieved revenue from operations of Rs. 37,29,36,000/- and profit amounting to Rs. 1,40,48,000/- as compared to the previous Financial Year 2023-2024 where the revenue from operations was Rs. 30,79,90,000/-and Profit after tax was Rs. 1,72,68,000/-. The basic and diluted earnings per share of the Company as on 31^st March, 2025 stands at Rs. 1.02/-.

CONSOLIDATED BASIS:

During the year under review i.e. 31^st March, 2025, the Company has achieved revenue from operations of Rs. 55,32,35,000/- and profit amounting to Rs. 2,42,30,000/- as compared to the previous Financial Year 2023-2024 where the revenue from operations was Rs. 44,42,80,000/- and profit after tax was Rs. 2,47,52,000/-. The Basic and Diluted Earnings per share of the Company as on 31^st March, 2025 stands at Rs. 1.75/-.

FOREIGN CURRENCY RISKS

Volatility in global economies have become the new common in recent times and since Company has less exposure to foreign revenue, risk is low in our case. However, the Company has a defined policy for managing its foreign exchange exposure minimizing the currency risk which results in stable earnings.

HUMAN RESOURCES

Your Company is focused in balance work life approach which promotes employee innovation, excellence and mutual trust between all the personnel and the Company. The Company also focuses on systematic training programs and developing the technical and behavioral skills of the personnel at each level of organization to upgrade and innovate the work culture. Your Directors acknowledge and thank employees for their constant support.

Financial ratios

Sr. No. Particulars	F.Y. 2024-25	F.Y. 2023-24
1. Debtors Turnover (days)	1.25	1.03
2. Inventory Turnover (days)	1.99	2.43
3. Interest Coverage Ratio	1.68	1.86
4. Current Ratio	2.34	3.71
5. Debt Equity Ratio	0.33	0.56
6. Operating Profit Margin (%)	9.50%	13.47%
7. Net Profit Margin (%)	3.77%	5.61 %

Return on Net Worth

Financial Year	FY 2024-25	FY 2023-24
Return on net worth (%)	3.53%	4.52%

CAUTIONARY STATEMENT

Statements made in this Management Discussions and Analysis describing Companys objectives and predictions may be "forward-looking Statements" involving future plans of the Company within the meaning of applicable laws and regulations. Actual results may differ from those expressed herein. The Company is dependent on factors that can impact the operations i.e. Government regulations, tax regimes, and economic developments within India and other countries. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of their dates. The following discussion and analysis should be read in conjunction with the Companys financial statements included in this report and the notes thereto. Investors are also requested to note that this discussion is based on the Standalone Financial Results of the Company.