Abhishri, in turn, buys products from Samsonite’s Chinese suppliers. In FY 2017, Samsonite disclosed it bought $10.5 million from Abhishri, up 51% from FY 2016. For Abhishri, Samsonite accounted for 58% of its overall sales in 2017.Secondly, Samsonite also sells products to Bagzone Lifestyle, a Tainwala familyowned retailer that sells Samsonite’s products through 85 exclusive and 46 multibrand luggage stores in India . The Hong Kong listed luggage maker also disclosed a large receivable balance from Bagzone, equal to more than 100% of sales. "Bagzone’s mounting receivables balance raises the question of why the related party retailer gets better credit terms than other distributors?

Source: Economic Times June 01, 2018 07:52 UTC