Highlights
Q3 Sales Rs 1311 Cr +9%, EBITDA Rs 262 Cr +20%, PAT Rs 49Cr +37% (GAAP)
Consistent improvement in Operational KPI’s ATV +6%, ASP+4% and IPT +2%
Premium categories contribution continues to improve @ 64%, +9% YoY and +5% Like for Like
First Citizen contributed 83%, + 411bps with Repeat sales 69%, + 267bps with 11.5M Members
Added 16 Stores during the quarter; 1 Department, 9 INTUNE, and 6 Beauty
Value Fashion INTUNE reported Rs.63 Crs Sales has 59 stores across 25 cities
Capex investments of Rs 53 Crs for Q3 and Rs 141 Crs YTD
Shoppers Stop Ltd. a leading department store with premier fashion and beauty brands, has declared its results for the quarter ended 31st December 2024.
Management Comments:
Commenting on the Q3FY25 results, Mr. Kavindra Mishra, MD and CEO of Shoppers Stop Ltd, emphasized the company's resilience in a challenging economic environment. Commenting on the Q3 FY25 financial results, he said, “We ended Q3 with a fairly positive note and the growth trajectory of the business heading in the right direction. We have delivered healthy volume-led revenue growth of 9% and LFL growth of 4%, despite higher inflation and decline in consumer spending. We had taken number of initiatives during the quarter such as “India Weds with Shoppers Stop”, “Gifts of Love”, “Winter Magic Campaign” and “ShowStoppers”, “Singles Day” in Beauty, etc.
These initiatives led to increase in premiumization, and our premium categories contributed 64% of our total revenue. We have improved every KPI’s during the quarter. Our strategic focus is to make Private Brands profitable. I am extremely pleased to say that Private Brands generated healthy margin growth, driven by lower markdown and obsolescence. The Beauty category continues to grow, Sales grew +3%, led by a Fragrance +14%. Our flagship store at Inorbit Malad, Mumbai, has been fully renovated and is now operational, featuring premium product offerings and enhanced customer experiences.
Performance of strategic pillars in Q3FY25:
First Citizen –First Citizen Members contributed 83% to our sales, of which 69% were repeat and the balance 14% from new members. Our Premium Black Card members contributed 17% to our sales with an increase of +28% YoY. This is the highest contribution since we launched Black Card, a few years back. Customer engagement activities continued with 40+ Black Card experiences organized across 26 cities and 160+ experiences across the stores. The “Big Fab Sale” (EOSS) Preview personalized campaigns had 2.5X response Vs regular campaigns.
Beauty – Beauty had Sales of Rs 268 Cr, +3% YoY, led by Fragrance 14%. Our customer engagement activities led the growth with 200K+ makeovers, 259 Master Classes and 9 beauty Soirée events. We opened 6 stores during the quarter including 3 boutique stores of “Armani” and our “First Fragrance Only” Store. We also launched a new Private Brand “JOYOLOGY” across 45+ Shoppers Stop stores and Ecom portals. “JOYOLOGY” is a bold, independent brand redefining beauty with innovation, inclusivity, and joyful self-expression.
Beauty Distribution – Global SS Beauty Brands Limited, our 100% subsidiary continue to outperform with Rs 78 Cr sales during the quarter with +26% YoY growth and Rs 169 Crs YTD, demonstrating improving quarterly trend.
Private Brands – With a focus on driving profitable growth, Private Brands sales was at Rs 186 Cr, contributing 12% to overall sales and 18% in the Apparel segment. Overall margin improved with higher Intake Margin and optimized markdowns.
INTUNE – As at Q3 end, we have launched 59 Intune stores across 25 cities. INTUNE generated sales of Rs 63 Cr in Q3 and year to date Rs 138 Crs. We are planning to open another 26 stores in Q4. Store openings in Delhi-NCR were delayed due to regulatory restrictions.
Store Expansion – We launched 16 stores in this quarter, including 9 INTUNE, 6 SS Beauty stores, and 1 Department Store. The total capex spend was Rs 53 Crs. We are planning to add 26 INTUNE and 6 Department stores during Q4 this year.
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