Danfoss has invested $300 mn in India, says official

CHENNAI: The Indian arm of Danish climate and energy solutions major, Danfoss, aims to scale up its revenue to Rs 5,000 cr by CY 2025.

The company sees India’s ambitious goal to be NetZero by 2070, opening several green business opportunities in the country.

As a part of their 2025 growth strategy, Danfoss India plans to expand its geographic footprint in India from current 56 cities to 80+ cities, improve localisation of all products from an average of 50% to 80-90%, and explore new hotspots where energy efficiency plays a significant role. The company also has plans of introducing new innovative products focused on energy, food, health care, infrastructure, and mobility sectors.

At a recent media round table in Chennai, Danfoss Global president-CEO, Kim Fausing said, “Danfoss India is in the group’s top 10 markets in terms of sales and has the potential to be amongst the top five soon. We have a high growth momentum at Danfoss now. We have made significant investments in the recent past to the tune of €3.5 billion in acquiring companies to be a global technology leader providing solutions that improve energy efficiency and reduce emissions to meet our customers’ increasing sustainable requirements.”

Ravichandran Purushothaman, president, Danfoss India region said, “As a global organisation serving the world’s energy efficiency needs for over nine decades now, we are deeply committed to India’s decarbonisation and sustainability journey. Danfoss India is seeing a huge digital transformation since the last two years and to support the same, we have added over 1,400 engineers and made investments of over $300 million in India to capitalise on the rising green opportunities.”

Danfoss India will be ending the CY 2022 with a revenue of more than ₹2,000 cr. It expects to post a y-o-y growth of 20% for 2023 against the projected 40% for 2022.

“India is going through an unprecedented growth in every sector and we see huge opportunity in agriculture especially in tractors and data centres. Danfoss India is the second top market for us now in the Asia-Pacific region and we see increasing contributions from India in the coming years, thanks to its immense growth potential from decarbonisation, digitalisation and electrification,” said Astrid Mozes, president - developing regions and chairperson, India board.

The company aims to be carbon neutral by 2030, especially in Scope 1 and Scope 2 emissions and currently, its HQ campus at Nordborg, Denmark will become carbon-neutral by end 2022.