Shoppers Stop reports Q1 profit of Rs 97.7 mn, income falls to Rs 8.3 bn

Retail chain Shoppers Stop on Friday reported a net profit of Rs 97.7 million for the quarter ended June 30, 2018, as against a net loss of Rs 37.1 million in the corresponding quarter a year ago.

Total income during the quarter under review stood at Rs 8.33 billion. It was Rs 9.46 billion in the year-ago period, Shoppers Stop said in a BSE filing.

The company said revenue for quarter ended June 30, 2017, is strictly not comparable with quarter ended June 30, 2018, due to change in accounting methods.

"Our revenue would have been almost flat, but for the extraneous factors like reclassification under Accounting Standard AS 115, significant increase in taxes as we have shifted from value aaded tax (VAT) to GST and pre-GST sale in June 2017, our revenue has declined,"Rajiv Suri, Customer Care Associate, MD and CEO, Shoppers Stop said.

At present, the company operates 83 Shoppers Stop stores in 38 cities and 13 HomeStop stores in 9 cities.

Shares of Shoppers Stop were trading 1.66 per cent higher at Rs 554.50 apiece on BSE.