Shoppers Stop reported an 18.86 per cent drop in total net profit to Rs 62.74 crore in the third quarter ended 31 December 2022 on Monday. In the same time last year, the business reported a consolidated net profit of Rs 77.32 crore, according to a regulatory filing.
It noted that consolidated income from operations for the quarter under review was Rs 1,137.07 crore, up from Rs 958.11 crore in the same period a year earlier.
Total costs in the third quarter were Rs 1,075.66 crore, up from Rs 905.14 crore in the same time the previous year, according to the business.
The growth momentum continued from the second quarter, tapering down a little after Diwali. Customer sentiments remain largely buoyant due to the prolonged festive and wedding season demand. The company’s strategy to give a great buying experience to the customers is fueling footfalls at our physical stores, and eyeballs online. The revamped look and feel of the stores, and diversified product SKUs have made Shoppers Stop the preferred choice of customers, Venu Nair, MD and CEO at Shoppers Stop, commented on the Q3FY23 results.
“We clocked the highest ever quarterly Sales, Gross Margin, EBITDA and PBT. Product premiumization across private brand categories has resulted in the highest quarterly sales with a growth of 23 per cent. The beauty category was strong and reported their highest quarterly sales with a growth of 18 per cent. The company’s fund allocation strategy has kept us debt free, and we have a net surplus cash of Rs 42 Cr in our books.” he said.
“Our store expansion plan is on track as we opened six department stores and five beauty Stores. Five more department stores are under-fitting. By the fiscal year end, we plan to open a further 5 Department stores and 4 Beauty Stores in 7 cities, taking the overall store count to 280 stores in 54 cities,” he added.
According to the firm, the beauty category saw sales of Rs 232 crore during the third quarter, an increase of 18 per cent, while the private brands category increased by 23 per cent.
In the December quarter, it opened six department stores and five beauty stores, bringing the total number of outlets to 271, distributed over 50 cities in India.
