Why Nisaba Godrej Resigned from VIP Industries?
Overview
Nisaba Godrej, who is the Executive Chairperson of Godrej Consumer Products, also holds positions as an independent director at Bharti Airtel and Mahindra and Mahindra. On June 3rd, she resigned from her position as an independent director on the board of VIP Industries. VIP Industries is a well-known company and market leader in the segment of luggage and bags.
Nisaba Godrej said, "I will be resigning from the board of VIP Industries effective June 3rd, 2024. As discussed, due to my differing views on leadership accountability and succession planning. I wish the company much success in the years to come," she said in a letter to the chairman of VIP Industries, Dilip Piramal.
One year ago, Anindya Dutta also resigned from the post of Managing Director, and the company promoted CFO Neetu Kashiramka to Managing Director. There are also rumors in the market that the company's promoters are planning to sell their stake in the company.
Although VIP Industries posted a 10% increase in sales, net profit declined to ₹28 crore in FY24 from ₹161 crore in the previous financial year because the company is facing stiff competition in the premium segment from Samsonite and in the mass end of the segment from Safari Industries.