Aditya Birla Fashion and Retail Ltd. saw a wider loss in the first quarter of financial year 2025, even as income met estimates, amid a subdued consumption environment exacerbated by prolonged heatwave and a weak wedding season.
The company reported a consolidated net loss of Rs 215 crore in the April-June quarter, compared to a loss of Rs 162 crore over the same period last year, according to an exchange filing on Wednesday. Analysts' estimates tracked by Bloomberg projected the loss at Rs 214 crore.
Higher expenses due to depreciation, inventories and finance cost had a bearing on operating performance.
Aditya Birla Fashion And Retail Q1 FY25 Results (Consolidated, YoY)
Revenue up 7.2% to Rs 3,428 crore versus Rs 3,196 crore (Bloomberg estimate: Rs 3,546 crore).
Ebitda up 23% to Rs 359 crore versus Rs 292 crore (Bloomberg estimate: Rs 319 crore).
Margin at 10.5% versus 9.1% (Bloomberg estimate: 9%).
Net loss of Rs 215 crore versus loss of Rs 162 crore (Bloomberg estimate: Loss of Rs 214 crore).
Revenue from lifestyle brands like Louis Philippe, Van Heusen, Allen Solly, Peter England, and Simon Carter stood at Rs 1,482 crore on account of a lean wedding season. E-commerce sales increased by over 13%.
Emerging growth businesses—which include youth western wear, innerwear and athleisure, and sportswear segments—posted 5% growth at an overall level, with the segment moving into profitability, the company said.
Segment Sales
Madura Fashion and Lifestyle: Rs 1,799.2 crore (down 5%).
Pantaloons: Rs 1,101.4 crore (up 5%).
Ethnic and others: Rs 607.3 crore (up 97%).
The retailer said overall consumption remains sluggish with discretionary spends muted. Apparel demand was impacted due to lower footfalls due to limited celebratory occasions, prolonged heatwave and elections in the period, according to an investor presentation.
The company's total network in the June quarter was at 4,607 stores, spanning 11.9 million square feet.
Shares of Aditya Birla Fashion and Retail closed 1.57% higher at Rs 323.9 apiece, as compared to a 1.11% advance in the benchmark BSE Sensex. The results were announced during market hours.
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