Aditya Birla Fashion and Retail Limited (ABFRL) on August 7 reported its consolidated net loss widened to Rs 161 crore for the quarter ended June 30, 2024. Its net loss was Rs 141 crore in the year-ago period.
However, on a sequential basis, the company's net loss narrowed when compared to Rs 229-crore loss reported in March quarter.
On August 7 at 3 pm, ABFRL's shares were trading nearly 3 percent higher at Rs 328 apiece.
The company's revenue rose 7 percent to Rs 3,428 crore in Q1FY25 as against Rs 3,196 crore in Q1FY24.
"Our performance over last few quarters validates the strategy of expanding our portfolio into new high growth segments. As market navigates through current headwinds, we remain steadfast with our focus on driving profitable growth. ABFRL's long-term strategy is to build a strong, future-ready presence in a large and growing market by establishing strong play across multiple categories and segments. With its strong brands, deep distribution and execution excellence, ABFRL is well positioned to leverage this value creation opportunity in the long term," said the company in a stock exchange filing.
"In Pantaloons segment, the business posted quarterly sales of Rs 1,101 crore, growing 5 percent. Led by gross margin improvement on the back of better markdown management, EBITDA grew 43 percent YoY as margin expanded by 470 bps to reach 17.6 percent in Q1. The private label portfolio, led by on-trend merchandise and improved design aesthetics, saw its share reach 66 percent this quarter. With sustained improvement in operational metrics, Style Up shall continue evaluating expansion opportunities," said ABFRL.
Ethnic Brands
- Designer led brands – The designer-led ethnic portfolio grew by 4 percent on YoY basis despite a weak wedding calendar.
• Premium ethnic wear brands: "TCNS revenue in Q1 stood at 84 percent of last year due to rationalization of distribution network in its endeavor to run a healthy network. With encouraging response towards its newly launched merchandise, business is consistently treading its track on transformation. The men’s premium ethnic wear brand TASVA saw a tough quarter with significantly lower wedding dates vs last year. Led by its superior product proposition and high-quality store experience, the brand is poised for strongshow in upcoming wedding & festive season. TASVA is now available at 63 stores and it continues to leverage the wedding ecosystem to enhance its reach among the consumer," said ABFRL in an exchange filing.
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