Aditya Birla Fashion and Retail (ABFRL) is part of a leading fashion retail company, The Aditya Birla Group, has reported a consolidated net loss of Rs 187 crore in Q4 FY2022-2023 against a profit of RS 43.59 crore in the same period last year.
Revenue from operations was up to Rs 2880 crore from Rs 2283 crore in the corresponding period of the previous fiscal. Total expenses jumped 40 percent at Rs 3178 crore.
“Growth in quarterly revenue was propelled by robust retail like-to-like (LTL) sales across businesses, accelerated omnichannel play, and network expansion as the company added 500+ stores in the last one year. Net profit for the quarter were impacted due to negative operating leverage on the back of sluggish sales. The increase in marketing spends (~1.5 times of LY) and continued investments in TMRW also impacted profitability in the quarter,” ABFRL said in a press release.
“As the economic situation recovers, the company remains focused on its clearly articulated strategy of building strong, timeless brands and managing the businesses with flexibility and agility. With a long-term rise in discretionary consumption, the apparel industry is primed for significant growth bolstered by premiumization and an accelerated shift from unbranded to branded products,” it added
ABFRL is one of the largest fashion retail company and it has invested in a number of new businesses over the past few years. In May 2023, the company acquired TCNS Clothing Co Ltd.
ABFRL has a strong network of 3,977 brand stores across the country. It is present across 33,535 multi-brand outlets and 6,723 points of sales in department stores across India as on March 31, 2023
Source – ABFRL