Indian firm ABFRL's Q3 FY23 revenue reaches record high of ₹3589 cr

The company's aggressive network expansion continued, with the branded business network gaining 245 stores, including newly integrated Reebok stores. The ethnic business added 15 new stores, and the network of small-town format within lifestyle brands is now above 550 stores. The company also added 10 new stores to the Pantaloons network, ABFRL said in a press release.

ABFRL continues to execute its long-term strategy by expanding into emerging consumer spaces. TMRW, the company's digital brand, has announced a strategic partnership with eight digital first brands, with six already integrated into the portfolio. Reebok also transitioned into ABFRL as of October 1, 2022.

The company’s e-commerce sales grew 33 per cent YoY, and the omni-channel coverage is now across 2,350-plus stores.

The revenue of ABFRL’s lifestyle brands grew 18 per cent YoY to reach ₹1,873 crore. EBITDA stood at ₹317 crore. Women’s business grew approximately 26 per cent YoY propelled by innovative and high-quality products. Marketing efforts of brands returned to pre-COVID levels, resulting in a noticeable rise in overall brand recognition.

The Pantaloons business achieved its highest quarterly sales despite a challenging environment post the festive season, as revenues grew 9 per cent YoY to reach ₹1,159 crore.

Inner wear and athleisure segment posted approximately 10 per cent revenue growth YoY despite the overall slowdown in the athleisure segment. During the quarter, the business continued to expand its footprint rapidly to exit with 159 exclusive stores and about 31,000 trade outlets.

American Eagle delivered 46 per cent revenue growth YoY, while Forever 21 grew 15 per cent YoY.

Super premium brands, comprising of the multi-brand format ‘The Collective’ and other super-premium brands, delivered a YoY revenue growth of 43 per cent.

Ethnic businesses grew approximately 66 per cent YoY. Sabyasachi grew 23 per cent YoY, as the brand crossed ₹100 crore quarterly revenue. Men’s premium ethnic wear brand Tasva expanded its network with the addition of 11 stores during Q3 to exit with 32 stores. S&N posted its highest-ever quarterly revenue with 43 per cent growth YoY.

The long-term outlook for the company continues to be positive owing to normalisation of offline businesses, proliferation of e-commerce, continued penetration for organised and branded apparel at the back of the strength of ABFRL’s brands.

Fibre2Fashion News Desk (DP)