Slide 1: Exchange cover letter: Press Release and Investor Presentation
SHOPPERS STOP SEC/81/2023-24 October 18, 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.:
Slide 2: Performance Highlights Q2 FY24
PERFORMANCE HIGHLIGHTS Q2 FY24 1
Slide 3: Key Highlights, Strategic Pillars, Financials
1 KEY HIGHLIGHTS 2 STRATEGIC PILLARS 3 FINANCIALS 2
Slide 4: Market Outlook
MARKET OUTLOOK Customer Industry Omni Channel Expansion – Consumers increasingly – With onset of the – 77 per cent of Indian – Big Mall developers bet prefer branded festive / wedding shoppers prefer to shop on smaller cities with garments, driven by season, industry from an omnichannel an aspiring
Slide 5: Q2 Highlights
Q2 HIGHLIGHTS – Sales Flat at Rs 1,271 Crs due to combination of shifting of Pujo (2.7 % of Sales) and softer demand – ATV +5% (Rs 4,383 from Rs 4,179), ASP +5% (Rs 1,539 from Rs 1,466) led by premiumization. Items per Ticket (IPT) increased by 1% – First Citizen contributed 77%, Sales Mix from Repe
Slide 6: Q2 in Numbers
Q2 IN NUMBERS (Non GAAP) Financials Revenue Rs 1,271 Crs Flat EBITDA Rs 41 Crs 3.7% of Sales PBT Rs (2) Crs^ (0.2%) of Sales PAT Rs (3 Crs)^ (0.2%) of Sales Expansion and Renovation – 11 Stores Opened 4 Department + 3 Beauty + 4 Intune – 19 Under Fit-out 6 Department + 6 Beauty + 7 Intune – Renovate
Slide 7: H1 in Numbers
H1 IN NUMBERS (Non GAAP) Financials Revenue Rs 2,513 Crs +2% EBITDA Rs 99 Crs 4.4% of Sales PBT Rs 17 Crs^ 0.8% of Sales PAT Rs 11 Crs^ 0.5% of Sales Expansion and Renovation – 20 Stores Opened 4 Department + 1 HomeStop + 9 Beauty + 6 Intune – Renovated 4 Department + 1 HomeStop Store – Capex Rs 89
Slide 8: Quarterly Trend (Non GAAP)
QUARTERLY TREND Non GAAP (Rs in Crs) 1500 Sales Margin 500 39.0% 1400 1300 37.0% 37.1% 36.7% 1200 1100 400 35.0% 37.0% 1000 900 300 35.0% 800 1270 1271 700 600 1070 200 416 413 33.0% 500 350 400 300 785 100 243 31.0% 200 100 0 0 29. 0% Q2FY20 Q2FY22 Q2FY23 Q2FY24 Q2FY20 Q2FY22 Q2FY23 Q2FY24 EBITDA 6
Slide 9: GAAP Quarterly Trend
GAAP QUARTERLY TREND (Rs in Crs) 1500 1400 Sales 600 Margin 45 .0% 1300 41.4% 500 1200 1100 41.2% 40.7% 43 .0% 400 1000 41.0% 900 38.2% 800 300 700 39.0% 600 500 1008 1025 200 350 415 417 845 37.0% 400 300 200 632 100 241 35.0% 100 0 0 33.0% Q2FY20 Q2FY22 Q2FY23 Q2FY24 Q2FY20 Q2FY22 Q2FY23 Q2FY24 EB
Slide 10: Operational KPIs
OPERATIONAL KPIs Items per Txn. (Nos.) 6000 5900 5800 ATV (Rs/-) 5700 5600 5500 5400 5300 5200 +1% +5% 5100 5000 4900 4800 4700 4600 45 00 4400 43 00 4200 4100 4000 3900 3800 3700 3600 3500 3400 3300 3200 3100 3000 2900 2800 2700 2600 2500 4383 2400 3.2 4179 2300 3.1 3.2 3927 2200 2100 2.8 2000 3274
Slide 11: Key Highlights, Strategic Pillars, Financials
1 KEY HIGHLIGHTS 2 STRATEGIC PILLARS 3 FINANCIALS 10
Slide 12: Strategic Pillars
STRATEGIC PILLARS Additions in Q2 4 Dept 9.5M Rs 184 Crs Rs 215 Crs 3 Beauty 4 Intune FIRST CITIZEN PRIVATE BRANDS BEAUTY EXPANSION 77% 14% 16% SALES CONTRIBUTION 11
Slide 13: First Citizen
FIRST CITIZEN Sales contribution: – Overall 77% – New members 13% – Repeat 64% Black Card Members : – Contribution 12% to Overall Sales – ATV 2X of First Citizen – Members Spend 4X of First Citizen – Sales Growth +32% Customer Engagement : – 2.3X higher response rate for personalized campaigns – Sea
Slide 14: Private Brands
PRIVATE BRANDS Sales Rs.184 Crs – PB Contribution (sustained at LY levels) – Overall 14% – Apparels 21% Sales and Contribution % – Strong growth continues in Indianwear, Haute Curry +38% 18% 15% – Sanya X Kashish campaign being planned for the Wedding/festive 14% 14% 16% Season 12% 14% 12% 10% – Pri
Slide 15: Intune Business Update
INTUNE BUSINESS UPDATE – Added 4 stores during the quarter, Total Store count 6 as on date – Cluster based expansion in Hyderabad, Bangalore, Mumbai and Pune – Store size Avg 5,000 Sq ft, area addition 20K during the quarter Key Insights – Consumer Feedback – Quality and Post wash Confidence – Famil
Slide 16: Intune Business Update
INTUNE BUSINESS UPDATE − Sales of Rs 8 Crs; Store EBITDA 10%+ − Robust productivity - SPSF of Rs 14K+, Avg. Annual Revenue per store of Rs 7 Crs − ASP of Rs 450/- driven by Sharp pricing and Table offers − Items per Ticket (IPT) at 3.6 driving ATV of Rs 1,642/- Expansion − Planned to open 18 stores
Slide 17: New Intune Stores
New Intune Stores Xperia, Dombivali Mumbai L&T, Hyderabad Hinjewadi, Pune RMZ Galleria, B’lore 16
Slide 18: Beauty
BEAUTY (Vs Q2 FY23) Sales Rs.215 Crs. +15% Rs.197 Crs. +6% (excl. Distribution) – Strong customer engagement with 240K Makeovers, Conversion 56% and Sales generated Rs 42 Crs – Strong traction during Showstopper Campaign +12% – Launched SSBeauty Store at Ambience Mall, Gurugram Dwarka, New Delhi – U
Slide 19: Beauty Distribution
BEAUTY DISTRIBUTION Sales Rs 23 Crs; EBITDA Positive − Distribution network expanded to 292 doors − Launched Armani Fragrances with 9 retailers and across 125 doors − Brands portfolio expanded with onboarding; – Skin care brand “FRE” – Makeup range from “Prada” and “Valentino” Bandra 18
Slide 20: New Store – SSBeauty @ Ambience Mall, Gurugram
New Store – SSBeauty @ Ambience Mall, Gurugram 19
Slide 21: New Beauty Store @ Phoenix Millennium, Pune
New Beauty Store @ Phoenix Millennium, Pune 20
Slide 22: Home Stop
HOME STOP Sales Rs 22 Crs; Store count 7 – Improving Sales trend Month on Month – Store size optimisation to improve productivity – Introduces Experiential shopping categories e.g. Massage chairs, Live Plants etc. – Bill Buster offers to drive Volumes, Celebrity and Customer engagements HomeStop, Sa
Slide 23: Expansion: 224 Stores, 4.0M sq.ft.
EXPANSION Store Footprint as on 30th Sept23 224 Stores Format Store count 4.0M sq.ft.# Department Stores 102 Beauty Stores 87 Intune 6 Home Stop 7 Airport Doors 22 Investments (Rs In Crs) Q2 FY24 New Stores and Renovation 43 Technology/Others 3 Total 46 # Carpet area 22 22
Slide 24: Expansion Way Forward
EXPANSION Way Forward Additions Area (Mn Store FY23 H1 H2 FY24 FY25 FY26 Total FY26 Sq ft) Department 98 4 11 15 15 15 45 1.15 143 Beauty 85 9 7 16 27 27 70 0.05 155 SSBeauty 10 2 2 4 15 15 34 0.04 44 EBOs 75 7 5 12 12 12 36 0.01 111 Intune 6 18 24 60 80 164 0.80 164 HomeStop 7 1 1 7 10 18 0.11 25 T
Slide 25: New Store – Dept Store @Forum Prestige mall, Kochi
New Store – Dept Store @Forum Prestige mall, Kochi 24
Slide 26: New Store – Dept Store @Phoenix Padmavathi mall, Guntur
New Store – Dept Store @Phoenix Padmavathi mall, Guntur 25
Slide 27: New Store – Dept Store @Phoenix Millennium, Pune
New Store – Dept Store @Phoenix Millennium, Pune 26
Slide 28: New Store – Dept Store @ Prayagraj
New Store – Dept Store @ Prayagraj 27
Slide 29: Renovated Store @ Manupasna, Jaipur
Renovated Store @ Manupasna, Jaipur 28
Slide 30: Financials
1 KEY HIGHLIGHTS 2 STRATEGIC PILLARS 3 FINANCIALS 29
Slide 31: KPI Performance – Q2
KPI PERFORMANCE – Q2 Vs Q2FY23 Flat (40 bps) (45%) Sales Gross Margin EBITDA Non GAAP 1271 413 41 GAAP 1025 417 170 +2% (50 bps) (3%) (Rs Crs) 30 30
Slide 32: KPI Performance – H1
KPI PERFORMANCE – H1 Vs H1 FY23 +2% (30 bps) (31%) Sales Gross Margin EBITDA Non GAAP 2513 829 99 GAAP 2007 832 350 +3% (20 bps) 2% (Rs Crs) 31 31
Slide 33: Financials Q2 FY24
FINANCIALS Q2 FY24 Particulars Non - GAAP Financials GAAP Financials Rs. in Crs. FY24 FY23 Gr% FY24 FY23 Gr% Gross Revenue 1271 1270 0% 1149 1133 1% Net Revenue 1123 1121 0% 1025 1008 2% Other Income 22 20 11% 11 4 172% Total Revenue 1145 1140 0% 1036 1012 2% Margin 413 416 -1% 417 415 0% Margin% 36
Slide 34: Balance Sheet
BALANCE SHEET Particulars (Rs. In Crs.) Sept’23 Mar’23 Net worth 787 765 Loan Fund 110 104 Total Liabilities 897 869 Fixed Assets + Lease Deposit 838 795 Investments 34 77 Inventory* 1652 1488 Other Assets 525 525 Net Cash Rs. in Crs Total Current Assets 2058 1883 Cash & Investments 11 Trade Credito
Slide 35: Cash Flow
CASH FLOW Particulars Sept’23 Mar’23 Cash Profit from Operations (after tax) 94 -17 Changes in Working Capital -59 124 Cash generated from Operations 35 106 Fixed Assets /Reduction in Capex Creditors* -103 -120 Cash generated from Operations -67 -13 Redemption of Investments (Net) 43 -24 Cash post I
Slide 36: Way Forward
WAY FORWARD Customer Brands – Focus on personalization of consumer experience – Premiumization of brands in non apps to continue through usage of deep data and AI – Market segmenting to identify strong regional – Build Our Store as a “Wedding destination” during brands and drive them in specific cat
Slide 37: Annexures
ANNEXURES
Slide 38: Financials Q2 FY24
FINANCIALS Q2 FY24 Particulars Non GAAP GAAP Rs. in Crs. FY24 FY23 Gr% FY24 FY23 Gr% Gross Revenue 1271 1270 1149 1133 1% Net Revenue 1123 1121 1025 1008 2% Other Income 22 20 11% 11 4 172% Total Revenue 1145 1140 0% 1036 1012 2% Margin 413 416 -1% 417 415 0% Margin% 36.7% 37.1% (40 Bps) 40.7% 41.2%
Slide 39: Financials H1 FY24
FINANCIALS H1 FY24 Particulars Non GAAP GAAP Rs. in Crs. FY24 FY23 Gr% FY24 FY23 Gr% Gross Revenue 2513 2460 2% 2252 2190 3% Net Revenue 2216 2169 2% 2007 1950 3% Other Income 45 36 26% 18 9 88% Total Revenue 2261 2205 3% 2024 1960 3% Margin 829 817 1% 832 813 2% Margin% 37.4% 37.7% (30 Bps) 41.5% 4
Slide 40: Company at a glance: stores, cities, First Citizens
224 Stores 9.5M 800+ FIRST CITIZENS BRANDS 14% Mix 16% Mix As at 30th Sept’23 PRIVATE BRANDS BEAUTY 4.0 M 55 SQUARE FEET CITIES AREA 13.4 Mn CUSTOMER ENTRY in Q2 (1) 18.9K TALENT POOL HomeStop, Dehradun 1. Includes Brand staff 39
Slide 41: 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 42: Investor contact
In case of any clarifications please contact on investor@shoppersstop.com
Slide 43: Shoppers Stop reports revenue of Rs 1,025 Cr and EBITDA of Rs 170 Crs
Press Release for immediate distribution Shoppers Stop reports revenue of Rs 1,025 Cr and EBITDA of Rs 170 Crs in Q2FY24 – Beauty outperformed with +6% growth led by Fragrance +20%; Contribution to Total Sales 16% – Beauty Distribution network expanded to 292 Doors, added Skincare brand “FRE” and Ma
Slide 44: Performance of strategic pillars in Q2FY24
Performance of strategic pillars in Q2FY24: – First Citizen Loyalty Customers – Our First Citizen Members contributed 77% of the overall sales, out of which 64% were repeat and 13% New members. The Unique members shopped during the quarter increased by 3%. For our premium Black card members, the Ave