Shoppers Stop Q2 net loss at Rs 3.68 cr; sales up two-fold to Rs 642 cr

Retail chain Shoppers Stop Ltd on Wednesday reported narrowing of its consolidated net loss to Rs 3.68 crore for the September quarter, helped by a comeback in sales.

The company had posted a net loss of Rs 97.70 crore in the July-September period a year ago, Shoppers Stop said in a regulatory filing.

Revenue from operations rose over two-fold to Rs 642.07 crore from Rs 296.98 crore in the corresponding quarter of the previous fiscal.

Total expenses were at Rs 714.25 crore, up 45.06 per cent from Rs 492.36 crore earlier.

Shoppers Stop MD & CEO Venu Nair said, "The demand postponement triggered by the second wave of the pandemic witnessed a strong comeback in Q2."

"While July was muted with multiple lockdowns and Maharashtra completely closed, August and September witnessed a sharp recovery. Our sales more than doubled and EBITDA quadrupled against last year," he noted.

Moreover, the festive sales have been extremely reassuring, he said, adding sales recovered more than 100 per cent in East, followed by North.

"Our performance has been very good across all segments, with Omni, Private and Beauty outperforming. We have witnessed a strong volume growth of 59 per cent (overall value growth of 90 per cent), primarily led by apparel," he said.

During the July-September quarter, sales from omni-channel grew by 103 per cent.

"Omni Channel contribution sustained at 8 per cent, despite stores opening in Q2. This reflects the strong trust amongst digitally savvy young customers with Shoppers Stop.

"Our investments continue to be higher In Omni, as we believe it enhances availability, drive sales & traffic, and integrate digital touchpoints," he added.

Shares of Shoppers Stop Ltd on Wednesday settled at Rs 280.55 on BSE, down 0.76 per cent from the previous close.