Q1FY24 Quarterly Result Announced for Arvind Fashions Ltd.
Apparels & accessories company Arvind Fashions announced Q1FY24 results: Revenues grew by 4% to Rs 957 crore compared to Rs 920 crore in Q1FY23 despite a challenging demand environment. Growth was largely led by department stores and retail channels posting 4% LTL along with the addition of 45 EBOs during the quarter. Gross margins expansion of 340 bps YoY to 52.8%, due to healthy full-price sell-thru’s Power brand's EBITDA margin significantly improved to 12.4%, higher by 130 bps vs. Q1FY23 Emerging brands registered a strong growth of 15% aiding higher EBITDA margin by 490 bps YoY Adjacent categories continued their growth momentum with footwear and kids wear businesses growing by 30%+ and 12% respectively 24% growth in EBITDA to Rs 116 crore compared to Rs 94 crore in Q1FY23. EBITDA margins higher by 190+ bps through operating leverage and gross margin improvement Continued sharper focus on inventory & debtors resulted in lower gross working capital by 15 days Commenting on the performance of the company, Shailesh Chaturvedi, MD & CEO said, “Our differentiated offering through exciting brands portfolio continues to show good traction despite soft market scenario. We continue to remain sharply focused on improving profitability through superior retail execution along with cost optimization. We are confident that our decisive focus on scaling up existing brands will help deliver substantial value to all our customers and stakeholders.” Result PDF10-08-2023