New Delhi, April 19: Japanese airconditioning major Daikin Industries is restructuring its 100 per cent Indian subsidiary to enable it to post a turnaround this year.

The third largest AC maker in the world has so far invested Rs 70 crore in Daikin Airconditioning India Pvt Ltd. The investment includes an equity infusion of Rs 50 crore to wipe out accumulated losses.

For the fiscal ended March 31, 2004, the company has recorded an operating profit of Rs 3 crore but a net loss of Rs 1 crore, which it hopes to wipe out by the year-end.

?For this fiscal (2005-06), Daikin India is targeting a topline of Rs 150 crore, up 15 per cent from Rs 130 crore last year, as well as a turnaround in bottomline,? Daikin India managing director Hayashi Toshiki said on the sidelines of a conference.

The company is aiming to achieve Rs 500 crore turnover in the next five years.

In an attempt to emerge in the black, the company initiated a complete restructuring of its operations last year. It sold off its assembly unit at Silvaasa as well as its stake in the water cooler business and ?Shriram? brand of airconditioners to Usha.

A couple of months back, Daikin acquired the remaining 20 per cent stake from its Indian partner Shriram to become a wholly-owned subsidiary of Daikin Japan.

?These initiatives were taken to improve the financial and operational performance of the company,? Daikin Industries deputy general manager S. Egawa said.

A $6-billion conglomerate, Daikin?s 75 per cent of business comes from air-conditioning. It enjoys an 18 per cent market share in the residential and 43 per cent in the commercial segments. In India, Daikin's market share in split ACs is less than 10 per cent. However, the company claims that it enjoys over 50 per cent market share in the premium segment.