Shoppers Stop Limited · NSE:SHOPERSTOP
Shoppers Stop — Q1 FY24 Earnings Presentation
41 slides from Shoppers Stop's earnings presentation, Jul 25, 2023
Slide 1: Cover letter to BSE and NSE
SHOPPERS STOP SEC/44/2023-24 July 24, 2023 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, Dalal Street, Fort, Bandra-Kurla Complex, Bandra (East), Mumbai 400 001. Mumbai 400 051. Stock Code : 532638 Stock Symbol : SHOPERSTOP Dear Sir / Madam, Sub.: Pr
Slide 2: Press Release: highest Q1 revenue and EBITDA in Q1 FY24
Press Release for immediate distribution Shoppers Stop reports highest Q1 revenue of Rs 1241 Cr and EBITDA of Rs 58 Cr in Q1FY24 – Reports PBT of Rs.19 Cr in Q1 FY24; PAT at Rs 13 Cr – Brands premiumization across categories resulted into strong Average Transaction Value growth of 8% – Capex investm
Slide 3: Performance of strategic pillars and outlook
All” format, again one of the strategic initiatives to cater to the Young Families. We launched 3 stores, 2 at Hyderabad and 1 at 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
Slide 4: Note and About Shoppers Stop Limited
Note: We have published a detailed Non‐GAAP and GAAP Income Statement. Our non‐GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP.
Slide 5: Performance Highlights Q1 FY24
PERFORMANCE HIGHLIGHTS Q1 FY24 1
Slide 6: Key Highlights, Strategic Pillars, Financials
1 KEY HIGHLIGHTS 2 STRATEGIC PILLARS 3 FINANCIALS 2
Slide 7: Market Outlook
MARKET OUTLOOK Customer Industry – Consumers prefer unique, engaging, and – Apparel demand continues to be muted post immersive experiences Diwali, partial revival from mid-June – Retailers are responding with – Higher discounting to expedite Inventory entertainment, Food & Beverage, and social liqu
Slide 8: Q1 Highlights
Q1 HIGHLIGHTS – Non-Apparel Category +13%, led by travel and luggage +50% and watches +9% – Beauty +13%, led by Fragrance Category +16%; Strong Customer engagement with 160k Makeovers – First Citizen mix at 80%, including repeat member 67% – ATV +8%, grew for 13 consecutive quarters, ASP +5% led by
Slide 9: Q1 in Numbers (Non GAAP)
Q1 in Numbers (Non GAAP) Financials Revenue Rs 1,241 Crs +4% EBITDA Rs 58 Crs 5.3% of Net Sales PBT Rs 19 Crs 1.7% of Net Sales PAT Rs 13 Crs 1.2% of Net Sales Strategic Pillars Private Brand Rs 171 Crs Flat Beauty Rs 216 Crs +13% (+7% excl. Beauty Distribution) Expansion and Renovation – Expansion
Slide 10: Quarterly Trend (Non GAAP)
QUARTERLY TREND (NON GAAP) (Rs in Crs) Margin Sales 1500 1400 500 37.8% 38.2% 38.1% 39.0% 38.0% 1300 1200 400 37.0% 1100 1000 36.0% 900 300 800 35.0% 700 600 1099 1190 1241 200 367 401 416 34.0% 500 400 32.1% 33.0% 300 100 246 70 200 32.0% 100 0 0 31.0% Q1FY20 Q1FY22 Q1FY23 Q1FY24 Q1FY20 Q1FY22 Q1FY
Slide 11: Quarterly Trend (GAAP)
QUARTERLY TREND (GAAP) (Rs in Crs) 1500 1400 Sales 500 Margin 46.0% 42.3% 45.0% 42.2% 1300 1200 1100 400 42.8% 44.0% 1000 43.0% 900 42.0% 300 800 700 41.0% 397 415 600 982 356 200 500 400 832 942 38.7% 40.0% 39.0% 300 100 201 78 200 38.0% 100 0 0 37.0% Q1FY20 Q1FY22 Q1FY23 Q1FY24 Q1FY20 Q1FY22 Q1FY2
Slide 12: Operational KPIs
OPERATIONAL KPIs (Offline + Online) Customer Visits (Mn) 6000 5900 ATV (Rs/-) 5800 5700 5600 5500 +8% 5400 5300 5200 5100 5000 4900 4800 4700 4600 4500 4400 4300 4200 4100 4000 3900 3800 3700 3600 3500 3400 3300 3200 3100 3000 2900 2800 2700 2600 4587 2500 4264 2400 2300 2200 34.1 2100 33.1 3510 200
Slide 13: Strategic Pillars
1 KEY HIGHLIGHTS 2 STRATEGIC PILLARS 3 FINANCIALS 9
Slide 14: Strategic Pillars
STRATEGIC PILLARS Growth Vs FY23 Additions in Q1 1 HomeStop 9.2M Flat +13% 6 Beauty 2 Intune FIRST CITIZEN PRIVATE BRANDS BEAUTY EXPANSION 80% 14% 16% SALES CONTRIBUTION 10
Slide 15: First Citizen
FIRST CITIZEN Sales contribution: – Offline 80%, including New Member 13% – Online 42% Black Card Members : – Contribution 13% to Overall Sales – ATV 2X of First Citizen – Members Spend 4X of First Citizen Customer Engagement – Members shopped base expanded +3% – Repeat sales +11% , mix improved to
Slide 16: Private Brands
PRIVATE BRANDS (Vs Q1 FY23) Sales Rs.171 Crs – PB Contribution – Overall 14% – Apparels 21% Sales and Contribution % – Launched Footwear range under “Fratini” and “Bandeya” 18% 14% 14% 14% 16% – Indianwear continues to out-perform 12% 14% 12% – “HAUTE CURRY” +42% 10% 8% – “Kashish” +14% 171 171 6% 1
Slide 17: Intune launch: Fashion For All
– We launched INTUNE on June 2, 2023 – We offer Apparel, footwear & accessories across Men’s, Women’s and Kid’s – INTUNE stands for “Fashion For All” – from the trendy college-goer to the classically dressed young parent to the cute & energetic kid, INTUNE has something for everyone – With its 100%
Slide 18: Intune – Inside the Store
INTUNE – INSIDE THE STORE 14
Slide 19: Intune @ DSL Mall, Hyderabad
Intune @ DSL Mall, Hyderabad 15
Slide 20: Intune @ GSM Mall, Hyderabad
Intune @ GSM Mall, Hyderabad 16
Slide 21: Beauty
BEAUTY (Vs Q1 FY23) Network Offline count Sales Rs.216 Crs. +13% Standalone 78 Rs.204 Crs. +7% (excl. Distribution) Shop in Shop 57 – Strong customer engagement with 160K make-overs SSBeauty 11 contributing 17% Total Offline 146 Online – Fragrance outperformed, +16% Shoppersstop.com Dwarka, New Delh
Slide 22: Beauty Distribution
BEAUTY DISTRIBUTION Sales Rs 15 Crs – Retailers on boarded (Online + Offline) : 20 – Distribution network (No. of Doors) : 266 Select Saket – Brands portfolio expanded with onboarding; – Marquee Makeup brand “Armani” (L'Oréal Group) – Perfume brands “Tumi” and “Banana Republic” (Park Fragrances grou
Slide 23: Key Beauty Campaigns
KEY BEAUTY CAMPAIGNS Vashi, Mumbai Logix, Noida Alpha, Ahmedabad Select Saket, New Delhi 19
Slide 24: Expansion: Store Footprint as on 30th Jun 23
EXPANSION Store Footprint as on 30th Jun23 Format Store count 218 Stores Department Stores 98 3.9M sq.ft.# Home Stop 7 Beauty Stores 89* Intune 2 Airport Doors 22 *excludes 57 Shop in Shop Investments (Rs In Crs) Q1 FY24 New Stores and Renovation 28 Technology/Others 15 Total 43 # Carpet area 20 20
Slide 25: New Store – HomeStop @ Unison Mall, Dehradun
New Store – HomeStop @ Unison Mall, Dehradun 21
Slide 26: New Store – SSBeauty @ Elante Mall, Chandigarh
New Store – SSBeauty @ Elante Mall, Chandigarh 22
Slide 27: New Beauty Stores @ Phoenix Mall, Ahmedabad
New Beauty Stores @Phoenix Mall, Ahmedabad 23
Slide 28: New MAC Stores
New MAC Stores Phoenix, Indore Kanakpura, Bangalore 24
Slide 29: Renovation – HomeStop @ Select Saket
Renovation – HomeStop @ Select Saket 25
Slide 30: Renovation – Department Stores
Renovation – Department Stores Prozone Mall, Aurangabad Metro Junction, Kalyan City Centre, Siliguri 26
Slide 31: Financials
1 KEY HIGHLIGHTS 2 STRATEGIC PILLARS 3 FINANCIALS 27
Slide 32: KPI Performance – Q1
KPI PERFORMANCE – Q1 Vs Q1FY23 +4% (15 bps) (15%) Sales Gross Margin EBITDA Non GAAP 1241 416 58 GAAP 982 415 180 +4% +10 bps +7% (Rs Crs) 28 28
Slide 33: Financials Q1 FY24
FINANCIALS Q1 FY24 Particulars Non - GAAP Financials GAAP Financials Rs. in Crs. FY24 FY23 Gr% FY24 FY23 Gr% Gross Revenue 1241 1190 4% 1103 1058 4% Net Revenue 1093 1048 4% 982 942 4% Other Income 23 16 44% 7 6 29% Total Revenue 1116 1064 5% 989 948 4% Margin 416 401 4% 415 397 4% Margin% 38.1% 38.
Slide 34: Balance Sheet
BALANCE SHEET Particulars (Rs. In Crs.) Jun’23 Mar’23 Net worth 779 765 Loan Fund 100 104 Total Liabilities 879 869 Fixed Assets + Lease Deposit 816 795 Investments 34 77 Inventory 1486 1488 Other Assets 511 525 Net Cash Rs. in Crs Total Current Assets 1877 1883 Cash & Investments 10 Trade Creditors
Slide 35: Cash Flow
CASH FLOW Particulars Jun’23 Mar’23 Cash Profit from Operations (after tax) 53 -17 Changes in Working Capital -51 124 Cash generated from Operations 2 106 Fixed Assets /Reduction in Capex Creditors* -54 -120 Cash generated from Operations -52 -13 Redemption of Investments (Net) 43 -24 Cash post Inve
Slide 36: Way Forward
Way Forward Customer Brands – Continue transition from transactional connect to – Introduction of new brands across categories + experiential curated Brand Mix – Enhance Shoppers Stop as Gifting destination – Premiumization of brands in Non Aps Expansion Beauty – 5 dept Stores under fit-out – Monsoo
Slide 37: Annexures
ANNEXURES
Slide 38: Financials Q1 FY24
FINANCIALS Q1 FY24 Particulars Non GAAP GAAP Rs. in Crs. FY24 FY23 Gr% FY24 FY23 Gr% Gross Revenue 1241 1190 4% 1103 1058 4% Net Revenue 1093 1048 4% 982 942 4% Other Income 23 16 44% 7 6 29% Total Revenue 1116 1064 5% 989 948 4% Margin 416 401 4% 415 397 4% Margin% 38.1% 38.2% -15 Bps 42.3% 42.2% 1
Slide 39: Key facts: First Citizens, brands, stores, area
218 (1) Stores 9.2M 800+ FIRST CITIZENS BRANDS 14% Mix 16% Mix As at 30th Jun’23 PRIVATE BRANDS BEAUTY 3.9 M 52 SQUARE FEET CITIES AREA 33 Mn CUSTOMER VISITS in Q1 (2) 18.5K 1. Excludes 57 Shop in Shops 2. Includes Brand staff TALENT POOL HomeStop, Saket 35
Slide 40: Disclaimer
DISCLAIMER Certain statements in this release concerning our future growth prospects are forward-looking statements within the meaning of applicable securities laws and regulations, and which involve number of risks and uncertainties, beyond the Control of the company, that could cause actual result
Slide 41: Contact [email protected]
In case of any clarifications please contact on [email protected]