Shoppers Stop reports revenue of Rs 1300 crore in Q3 FY20
By Retail4Growth Team | February 01, 2020
During this fiscal, the company has made large investments in Digital and Information Technology Transformation for Rs 30 crore.
Shoppers Stop has reported sales of Rs1300 corer and EBITDA of Rs 102 Core in the quarter (Non-GAAP). GAAP adjusted; the turnover is Rs 994 crore and EBITDA of Rs 204 crore.
Commenting on the quarterly performance of the company, Rajiv Suri, Customer Care Associate, Managing Director & Chief Executive Officer, Shoppers Stop said, “In a challenging economic environment we found opportunities to seed future growth for the company by aggressive expansion through internal accruals. During the year we opened 28 stores (8 Department and 20 Beauty) and plan to open 23 Stores (4 Department, 11 Beauty and 8 Airport stores) in Q4. This expansion will add circa Rs 500 crore top-line on an annualized basis, more importantly, these stores have been EBITDA accretive within the first quarter of operation”.
During this fiscal, the company has reportedly made large investments in Digital and Information Technology Transformation for Rs 30 crore. These investments will enable us to sharpen our analytic capabilities which will improve overall customer experience and personalization besides supporting our growth.
Against a strong base of Q3 FY19 and a subdued retail landscape with a dampened festive season, the Revenue growth was muted LTL (-1%). Nonetheless, the company proactively increased its productivity and efficiencies by keeping the costs in control (LTL costs lower than last year).
The company has added 15 stores during the quarter of which 6 are department stores and 9 beauty doors taking the total footprint to 89 Department stores and 135 Beauty doors across 42 cities in India as at December, 31st 2019. Our First Citizen Loyalty program contributed 84% (+5% Y-o-Y basis) of Revenue. The Beauty segment grew 9.6% and we are confident that this growth will sustain in the forthcoming quarters on the back of new beauty stores, upgrading the beauty experience in existing stores, the launch of new brands and strong Omnichannel support. The company launched 4 new brands in beauty. Our one-of-its-kind Personal Shopper program grew by 5%.