Conference Call with Shoppers Stop Management and Analysts on Q1FY24 Performance and Outlook. Listen to the full earnings transcript.
Department Stores company Shoppers Stop announced Q1FY24 results: Reports PBT of Rs 19 crore in Q1FY24; PAT at Rs 13 crore Brands premiumization across categories resulted in strong Average Transaction Value growth of 8% Capex investment of Rs 43 crore Added 1 HomeStop and 6 Beauty stores 5 Department stores under fit-out Renovated 3 Department and 1 HomeStop Store Shoppers Stop launched the “Fashion For All” format under the brand “Intune”, which is a 100% private brand. Opened 3 stores-2 in Hyderabad and 1 at Dombivali (Mumbai), 3 stores under fit out Beauty remained the fastest growing segment recording sales of Rs 216 crore, +13% YoY Venu Nair, MD & CEO at Shoppers Stop, commented on the Q1FY24 results, “Retail Sector is moving towards normalcy, with Beauty & non-apparel categories seeing strong growth. However, the Apparel segment is witnessing moderation, and the operating environment remains challenging. In this context, we have delivered a resilient and competitive performance. Our business model and its strategic pillars are driving sustainable growth. As a result, our revenue for Q1FY24 has grown by 4% compared with Q1FY23. We continue to revamp our older stores to upgrade their look and feel, offering fashionable brands for all age groups and customers. Our strategy of democratization of beauty for all segments of customers has driven growth. The 3P customer-centric strategy of personalization, premiumization, and the private label has resulted in Increased Average Transaction Value (ATV) and Average Selling Price (ASP) by 8% and 5%. On the overall store expansion strategy, Shoppers Stop will open 12 new Department stores in 7 new cities by the end of FY24, apart from 15 Beauty stores. Recently, we launched “Intune” a “Fashion For All” format, again one of the strategic initiatives to cater to the Young Families. We launched 3 stores, 2 in Hyderabad and 1 in Dombivli (Mumbai), and another 3 stores are under fit out. Our customer engagement strategy through various offline and online activations like beauty makeovers, End of Season sales (EOSS) witnessed a rebound of customers' footfalls to our stores resulting in higher traction. For a more personalized experience through AI, we have introduced ‘Virtual Try On and Skin Analyzer’ at SSBeauty stores for a virtual try-on make-up experience.” Result PDF