Kohler growing at double the market rate in India, sees no signs of saturation

Kitchen and bathroom products company Kohler sees India as far more than just a large consumer market. For the company, the country sits at the centre of its long-term global growth strategy, spanning manufacturing, innovation, design and potential acquisitions.

Chris Ball, President, Kitchen and Bath, says India is now among Kohler's top three markets globally, both in terms of size and future opportunity, alongside the US and China.

In an interaction with CNBC-TV18, Ball spoke about Kohler's openness to mergers and acquisitions in India, its strong balance sheet following the divestment of its energy business, and why being privately owned gives the company a structural edge.

He also outlined Kohler's deepening investments in India, from expanded manufacturing capacity and localisation to global services, engineering and innovation aimed specifically at Indian consumers.

A major theme running through the conversation was wellness. Ball described health and wellness as a multi-decade global trend and positioned Kohler's growing portfolio, spanning premium baths, steam, sauna and home spa solutions, as a key growth driver.

He also addressed competition in the premium kitchen and bath segment, supply chain strategy amid global volatility, and Kohler's focus on growing faster than the market without chasing short-term targets.

Edited excerpts from the interview

Q: How important is India in Kohler's global growth strategy and are you expanding your footprint here?

A: India is a very strategic market for us and one of our top three countries globally. We are investing in growth right now. We have expanded our factories and recently inaugurated a new site to drive more faucet manufacturing. We export both products and services from India, including engineering, IT and finance support for global teams. At the same time, the majority of manufacturing here is India for India. Our focus is to feel like a local brand with global inspiration and capabilities, showing up as a true partner on the ground.

Q: Are there any M&As that you are looking into, especially in India?

A: We are always looking. This is one of those markets where India not only has a lot of entrepreneurial innovation, but there is also a strong application for us. Given our scope and scale, we can be a partner that acquires an asset and then leverages it globally. Because of how strategic this market is and how many years we have been invested here, adding to our portfolio through acquisitions is one of the ways we think about growth. We have done that in many markets around the world and India is absolutely one where we can do that as well.

Q: Can we expect something by the fourth quarter or in the next financial year?

A: You never know. I cannot confirm a timeline. What I can say is that Kohler is a very healthy, well-capitalised organisation. We divested our energy business a few years ago, which gave us additional capital and flexibility and allowed us to focus much more tightly on kitchen and bath. With a strong balance sheet and a willingness to invest for the long term, anything is possible. If there is the right opportunity at the right value, we will move very quickly and build an ecosystem that we think is unparalleled, whether in kitchen and bath or home goods more broadly.

Q: Kohler is privately owned. Do you see any scenario where Kohler would consider alternative ownership structures?

A: There is no intent to change and it is actually a huge advantage for us. Being private allows us to make decisions across the short, mid and long term without external analyst or investor noise. It keeps our teams fully aligned around creating value and winning in the market. It also lets us focus deeply on understanding market needs rather than optimising for a quarter. That long-term view has served us well since the 1800s and being private allows us to do that better than most other capital structures.

Q: We are witnessing volatility in global supply chains over the last few years. How has Kohler reworked its sourcing and manufacturing strategy. Is there a push towards localisation in markets like India?

A: We are always optimising our structure and localisation is a very good strategy, especially in large markets like India. We do not try to predict disruptions. Instead, we focus on managing inputs, supply chains and assets to make sure great products are always available and supported by the right service. One advantage of our size and scope is that we can bring insights from other markets to support local teams and make better decisions.

Q: What kind of market share growth you are targeting for in the next financial year?

A: We track it closely but we do not talk about specific targets. The most important point is that we are growing at about double the market rate in India. We are far from being saturated and our objective is always to grow above the market by driving meaningful innovation. Based on our product portfolio and pipeline, we feel confident about doing that again in 2026.

Q: Are there new portfolios or segments you are keen to expand into?

A: Our strategy includes both organic and inorganic growth. A big area of focus is health and wellness, which we see as a mega trend for the next five, 10 or 20 years. We have been in wellness since the 1800s, starting with the bathtub. Today, products like our Zeta facial steam system bring spa-like experiences into the home. When we look at M&A opportunities, we ask how they help bring meaningful innovation to life around these trends.

Q: Which segments are you most bullish on over the next three to five years?

A: Wellness, particularly the sauna and home spa space. We own KLAFS in Germany, which is a global leader in high-end bespoke saunas. Beyond sauna, we offer steam, contrast therapy, ice rooms and cold plunge products. These are solutions that many people do not even realise are possible at home, and that ability to surprise and delight is where we see strong differentiation.

Q: How intense is competition in the premium kitchen and bathroom segment in India?

A: Competition is strong and that is healthy. It pushes us to get better. India has some of the fastest moving and most innovative teams we have globally, from manufacturing to engineering. The talent here challenges us and makes us a better organisation. That is why this market is so special for us and why we continue to invest deeply in local-for-local growth while also exporting products and services globally.