Conference Call with Metro Brands Management and Analysts on Q2FY24 Performance and Outlook. Listen to the full earnings transcript.
Footwear company Metro Brands announced Q2FY24 & H1FY24 results: 1. Financial Performance: - Metro Brands reported a YoY revenue growth of 15% in Q2FY24, reaching Rs 532 crore. - The company achieved a PAT margin of 15% and a 30% EBITDA margin in the same quarter. - For H1FY24, Metro Brands saw a 13% increase in revenue and a PAT margin of 17%. 2. E-commerce Contribution: - Metro Brands' e-commerce contribution increased from 8% to 11% in H1FY24 compared to the previous fiscal year. - This highlights the company's adaptability and responsiveness to changing customer demands. 3. Physical Presence: - Metro Brands added 56 new stores in H1FY24, demonstrating its commitment to expanding its physical presence. - The company remains on track to achieve its target of 100 stores for FY24. 4. Strategic Initiatives: - Metro Brands is focused on liquidating the FILA inventory, streamlining distribution channels, and leveraging operational synergies within the business unit. - The company is well on course to achieve these objectives by the end of FY24. 5. Vision for the Future: - Metro Brands plans to strategically reposition the FILA brand in FY25. Commenting on the performance of the company, Nissan Joseph, CEO, Metro Brands, said, “I am pleased with our performance in H1FY24. In this period, we achieved an increase of 13% in revenue compared to the corresponding period of the previous fiscal year where we witnessed a pent-up demand due to ease in Covid-19 restrictions. Despite the challenges posed by shifting wedding dates and delays in the festive season, we successfully met our demand and revenue targets for H1FY24. Our ability to adapt and excel in such dynamic circumstances reflects the strength of the team, our resilience, and our commitment to delivering strong results. Looking ahead, we are confident in our ability to maintain this positive momentum and anticipate a strong performance in the upcoming months.” Result PDF