Revenue from operations added by 2.6% year on year to Rs 1,039.12 crore in the second quarter 30 September 2023.

Consolidated profit before tax declined 84.83% to Rs 3.49 crore in Q2 FY24 as compared to Rs 23.01 crore in Q2 FY23. Total expenses were at Rs 1,041.31 crore in Q2 FY24, up 5.01% YoY.

Gross margin was at 36.7% in the second quarter of FY24 as compared to 37.1% registered in Q2 FY23. EBITDA dropped 45% to Rs 41 crore in Q2 FY24 from Rs 75 crore recorded in the corresponding quarter previous year.

The firm said that the brands premiumization across categories resulted into strong Average Transaction Value growth of was 2X and members spend was 4X of the First Citizen.

Private Brands sales were at Rs 184 crore with contribution sustaining at Last year levels of 14% to the total Sales and 21% on the apparel's sale.

Beauty category sales were at Rs 197 crore, remained as the fastest growing category contributing 16% to the overall sales with Fragrance growing by more than 20%

The company has launched 4 department stores, 3 beauty stores and 4 Intune stores in this quarter. Overall, the company spent a capex of Rs 46 crore.

The firm's First Citizen members contributed 77% of the overall sales, out of which 64% were repeat and 13% new members.

Kavindra Mishra, executive director and CEO, Shoppers Stop said, “Shoppers Stop reported impressive financial results, despite challenging market conditions and shifting of Pujo from Q2 to Q3 this fiscal. We have witnessed a strong pick-up in the Beauty businesses and consistent performance from non-apparels. The premiumization has been sustained across categories resulting into 5% growth in average selling price (ASP) and 1% growth in items per ticket (IPT) compared to the corresponding quarter of FY23. Net profits for the quarter were affected due to muted demand in apparels, partially offset by growth in non-apparels.

As we enter the festive season, we anticipate a rebound in discretionary spend, propelling the company's growth trajectory further in the second half.”

Meanwhile, the company's board has approved the investment in Pahadi Goodness (Pahadi Local), to be made by its material subsidiary i.e. Global SS Beauty Brands (Global SS).

Shoppers Stop is the nation's leading premier retailer of fashion and beauty brands.

Shares of Shoppers Stop were lower 0.77% to Rs 756 on the BSE.