India's leading fashion retailers report mixed performance in FY24

Arvind Fashions Limited

Arvind Fashions Limited, known for housing renowned brands such as US Polo, Flying Machine, and Calvin Klein, reported a revenue of ₹42.59 billion (approximately $511.3 million) in FY24. This marks a 5 per cent increase from the previous fiscal. The company saw a significant rise in EBITDA, reaching ₹5.44 billion, up 15 per cent compared to FY23. The profit before tax (PBT) stood at ₹1.7 billion, showing a 14 per cent increase. However, despite these gains, the profit after tax (PAT) declined by 5 per cent to ₹560 million.

Reliance Retail Ventures Limited

Reliance Retail Ventures Limited demonstrated strong growth in FY24, recording a gross revenue of ₹3,067.86 billion (approximately $36.84 billion), which is a 17.8 per cent increase over the previous year. The company continued its strong profit growth trajectory with an EBITDA of ₹23.04 billion, up 28.5 per cent year-on-year (YoY). The EBITDA margin on net sales improved by 60 basis points (bps) to 8.4 per cent.

Throughout the year, Reliance Retail expanded its store footprint significantly, opening 1,840 new stores and adding 15.6 million square feet of gross area. This brought the total store count to 18,836, covering a total area of 79.1 million square feet. The fourth quarter saw robust performance, with revenue reaching ₹766.27 billion, a 10.6 per cent YoY increase, driven by growth in the fashion and lifestyle segment. Ajio’s flagship event, ‘All Star Sales,’ contributed to this growth, achieving a 36 per cent increase in traffic and adding approximately 300,000 new customers.

Raymond

Raymond reported its highest-ever annual revenues at ₹92.86 billion (approximately $1.1 billion), reflecting an 11 per cent growth. The company maintained strong momentum across all its business segments. Raymond achieved a record annual EBITDA of ₹15.75 billion, with EBITDA margins at 17 per cent, showing a 19 per cent growth compared to the previous year. Additionally, the company reported a record annual PAT of ₹65.5 billion, up by 24 per cent compared to the prior year. The company also posted its highest-ever earnings per share (EPS) at ₹98.

Shoppers Stop

Shoppers Stop, a leading Indian retailer, reported a total revenue of ₹42.13 billion (approximately $504.4 million) for FY24, marking a 5 per cent growth from ₹39.98 billion in FY23. Despite this revenue growth, the company experienced a slight decline in gross margin, dropping from 41.8 per cent to 40.8 per cent. The EBITDA for FY24 was ₹7.69 billion, up from ₹7.55 billion in the previous year, reflecting a 2 per cent increase. However, both profit before tax (PBT) and profit after tax (PAT) saw significant declines. PBT decreased by 38 per cent to ₹1 billion, while PAT fell by 39 per cent to ₹730 million.

Fibre2Fashion News Desk (DP)