It gives me great pleasure to announce yet another year of growth despite the impact ofnationwide lockdown and the resultant economic challenges. In the fiscal year FY20revenue increased by 5% EBITDA by 26% and PAT by 29% marking marginal growth in thetopline and good growth in bottom line despite the market uncertainties and COVID-19impact.
Your Company recognizes that footwear industry has been gradually inclining towardsfashion industry which is inspiring us for constant product innovation both infunctionality and design. Through a robust market sensing & research process feedbackfrom our channel partners and access to renowned national & international designstudios your Company constantly strives to offer products that exceed consumerexpectations. With its philosophy of 'Customer First1 your Company regularlyrefreshed its product portfolio in line with consumer expectations and launched a slew ofnew products this year.
Your Company continued to strengthen its distribution network expansion inunder-penetrated markets while empowering its sales force and channel partners withinnovative digitized solution for seamless efficiency. Use of sales force automation toolshas enabled our team to service 25000 outlets
directly and engage with our valued retail partners.
In a strategic move to come closer to the new age consumer your Company chose toharness the digital space and established a strong brand presence on social media withcurated content and digital campaigns. Your Company also set up an Online ReputationManagement (ORM) system for real time customer sentiment analysis and management. To keepup with changing times we have tied up with leading e-commerce portals and more than 70%of portfolio is listed online for customers.
During the year your Company consolidated growth in existing priority export marketswhile continuing to expand its global footprint. Your Company's efforts in maintaining afocus on promoting own brands ensuring timely product availability to our internationalpartners has further led to your Company being recognized as one of the top non-leatherexporter from India.
Despite external pressures your Company demonstrated good growth in the retail networkby expanding its store footprint to 390 stores and shifting the store assortment to higherASP articles. All this while your Company has kept a firm focus on improving the in storecustomer experience with range availability and regular staff training.
Your Company continued to extend its technology IT solutions like robust SFA and DMSsolutions focussed on providing better service to its channel partners.
Footwear has been identified as one of the key sectors under various 'Make in India1initiatives to strengthen manufacturing sector in India and Government is taking variousinitiatives to boost Indian footwear industry. With its existing plants and potential toquickly ramp up capacity your Company is ideally placed to take advantage of suchsituation.
Your Company recognising employees among its core assets has continued to strengthenbond with them through reward & recognition initiatives trainings and ESOP plansduring the year.
The C0VI0-19 pandemic has had a profound impact on socio-economic conditions all overthe world impacting all industries including fashion and footwear. While there has been adeep short-term impact in the first three months the after-effects of the pandemic areexpected to last well beyond this period and have an adverse impact on both consumer andtrade sentiment as well as purchasing power.
The economic impact of coronavirus pandemic in India has been largely disruptive. Undercomplete lockdown your Company had to suspend operations in last ten days of March andApril 2020 leading to substantial revenue loss. With continuing restrictions on sale ofnon-essential (footwear) products in May in several markets the quarterly performance ofthe company is expected to take a setback in Q1 FY 21.
Various initiatives taken by the government to counter this unprecedented event areheartening and
are expected to have an impact over the medium term. As the world battles the on-goingpandemic there is also tremendous effort to put the business back on rails with yourCompany taking many initiatives to realign work operations and manage experiences to thenew consumer expectations and trends.
Given the company's four decades of experience in manufacturing and marketing offootwear it would be better placed than its peers during this uncertain times.
Your Company is proactively engaged in taking appropriate steps on manufacturingsupply chain and distribution to tap available opportunities and mitigate existing orfuture risks in order to improve its market share. Various initiatives have been taken forthe well-being and safety of our employees which are fundamental for the growth of thecompany. There seems to be lot of challenges in this year but COVID-19 has posed us anopportunity to evaluate ourselves and identify any loopholes or improvement opportunitieson both process and cost front and to emerge stronger and tougher to achieve new heights.
I would like to thank all our stakeholders customers business partners Board ofdirectors bankers and employees for their valuable support and belief in the company.
With Best Regards
Ramesh Kumar Dua