Conference Call with Vaibhav Global Management and Analysts on Q4FY23 Performance and Outlook. Listen to the full earnings transcript.
Analyst Meet with Vaibhav Global Management team in Mumbai. Watch the full transcript.
Other apparel & accessories firm Vaibhav Global announced Q3FY23 results: Q3FY23: Revenue: Q3 FY23: Rs 724 crore vs Rs 750 crore YoY Robust growth of 28.5% over pre-Covid period of Q3FY20 3 years compounded annual growth of 9% Digital Revenue Mix: 37% of B2C revenue. Industry leading Gross Margins at 60.6% owing to vertically integrated supply chain and wider product mix. Sequential improvement in EBITDA margin 10.5% in Q3FY23 vs 8.1% in Q2FY23. YoY EBITDA margins are lower owing to conscious investments in broadcasting network & digital marketing. PAT for the quarter is Rs 39 crores as against Rs 69 crore last year ROCE at 9% and ROE at 15% (on TTM basis). Return ratios suggest effect of lower profitability. Declared third interim dividend of Rs 1.50 per equity share (face value Rs 2 each). The total interim dividend for FY23 till 9M is Rs 4.50 per equity share. Commenting on the performance for Q3 FY23 Mr. Sunil Agrawal, Managing Director, Vaibhav Global Limited said, Revenue during last quarter was marginally down YoY. While the quarter looks soft, our growth over pre-COVID period is encouraging at 28.5%. This performance is with the backdrop of current moderating consumer demand amidst inflationary environments. In UK market, many of major delivery partners are facing strikes which had an industry wide impact on deliveries. Further, the cyber-attack also temporarily disrupted our operations in US and UK businesses. The company has demonstrated resilience in current economic environment as our revenue growth would have been flattish YoY if we negate the impact of cyber-attack and delivery disruption. Our sustained efforts on cost optimization helped us sequentially improve EBITDA margin which bottomed out in Q4FY22. While we are aware of the current macro headwinds, we remain optimistic about the future and believe that this transient phase will be behind us soon. Considering current macro environment, we expect to achieve flattish to 2% topline growth in Q4 and end this fiscal year with -3% to -2% topline growth. For FY24, we expect to deliver revenue growth in 8% to 10% range with strong operating leverage over current year. However, our mid-term outlook remains intact, and we expect to deliver mid-teens revenue growth in subsequent periods with decent operating leverage." Result PDF
Apparels & accessories manufacturing company Vaibhav Global announced Q2FY23 results: Q2FY23: Q2FY23: Rs. 646 crores vs Rs. 635 crores YoY Robust growth of 33% over the pre-Covid period of Q2FY20 3 years compounded annual growth of 10% Digital Revenue Mix: 36% of B2C revenue Industry leading Gross Margins at 60%+ owing to vertically integrated supply chain and wider product mix EBITDA margin at 8.1% vs 11.5% in Q1FY23. Attributed to: YoY lower gross margins due to product mix and prices not passed on fully Conscious investment on digital & broadcasting network PAT for the quarter is Rs. 23 crores as against Rs. 42 crores last year ROCE at 18% and ROE at 13% (on a TTM basis) Return ratios reflect the impact of lower profitability which have started seeing a sequential improvement. Hence, we expect to improve return ratios going forward Declared a second interim dividend of Rs 1.50 per equity share (face value Rs 2 each). The total interim dividend for FY23 till H1 is Rs. 3.00 per equity share Commenting on the performance for Q2 FY23 Mr. Sunil Agrawal, Managing Director, Vaibhav Global Limited said, During the quarter gone by, we registered low single-digit revenue growth, which is promising on the backdrop of the current high inflationary environment in western economies. While the quarter looks soft, our 3 years compounded annual growth stands at 10% or 33% over Q2 FY20. Our margins, which bottomed out in Q1, have started seeing a sequential improvement and we expect to continue to improve in H2. We continue to monitor macro environment & business trends and believe that we have the team and the experience to effectively manage our business in any environment. We believe that the long-term demand remains strong and our business model robust. Amidst current broader economic challenges, we have seen a visible sequential improvement during the last few months with revenue trends improving month-over-month and believe that this transient phase will be behind us soon. Considering the current macro environment, we expect to deliver 2-4% topline growth with an 8-9% EBITDA margin this financial year. Our mid-term outlook remains intact and we expect to deliver mid-teens revenue growth in subsequent years with operating leverage. Result PDF
Apparels & Accessories company Vaibhav Global announced Q1FY23 Result : Declared interim dividend of Rs. 1.50 per equity share Revenue: Q1 FY23: Rs. 628 crore vs Rs. 682 crore YoY. Robust growth of 43% over pre-Covid period of Q1 FY20 Current Q1 growth looks subdued because of higher base 3 years compounded annual growth of 13% Digital Revenue Mix: 36% of B2C revenue Industry leading Gross Margins at 62% owing to better product mix EBITDA margin at 7.0% (excluding Germany 9.1%). Attributed to: Investments into new Germany unit Conscious investment on digital & broadcasting network Increased digital marketing PAT for the quarter is Rs. 20 crore as against Rs. 66 crore last year (adjusted for exceptional items). Adjusted for loss in Germany, PAT for the quarter Rs. 33 crore vs Rs. 72 crore YoY ROCE at 22% and ROE at 14% (on TTM basis) Return ratios implies effect of conscious business investments on affiliates, digital marketing, and Germany’s impact Declared an interim dividend of Rs 1.50 per share (face value Rs 2 each) Commenting on the performance for Q1 FY23 Mr. Sunil Agrawal, Managing Director, Vaibhav Global Limited said, During the quarter gone by, we continued building future growth levers amidst broader macro challenges. While the quarter looks softer because of a very high base, our 3 years compounded annual growth stands at 13% with a robust growth of 43% over Q1 FY20. We are happy to continuously gain market share in the challenging macro environment and perceive that the robustness of our business model will continue to drive forward our growth ambitions. Our outlook for the year and mid-term remains intact and we expect to deliver mid-single digit growth in this fiscal year and mid-teens revenue growth in subsequent periods. Result PDF
Conference Call with Vaibhav Global Management and Analysts on Q4FY22 Performance and Outlook. Listen to the full earnings transcript.