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Aditya Birla Fashion - Eyeing Growth Across All Avenues: Motilal Oswal

Aditya Birla Fashion - Eyeing Growth Across All Avenues: Motilal Oswal

<div class="paragraphs"><p>A Pantaloons store exterior inside a mall in Mumbai. (Photo: Usha Kunji /BQ Prime)</p></div>
A Pantaloons store exterior inside a mall in Mumbai. (Photo: Usha Kunji /BQ Prime)

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Motilal Oswal Report

In FY22 Aditya Birla Fashion and Retail Ltd. saw a partial recovery in the business, with the management focusing on retail expansion, along with balance sheet discipline, a key focal point, given the challenges faced in FY20.

Hit by the second Covid wave, consolidated revenue recovered, yet remained 7% below pre-Covid levels (FY20). Ebitda margin remained stable at 13.5% on strong cost control. On a pre-Ind Accounting Standard 116, Ebitda margin was 2.2% versus 5.1% in FY20.

Revenue from the Lifestyle segment remained resilient, reaching pre-Covid levels (average selling price/volumes at 5%/-7%).

Revenue from Pantaloons stood 25% below pre-Covid levels (average selling price/volume at +9/-32%) as its large format stores and its higher presence in malls was severely affected by the Covid-19 pandemic.

Aditya Birla Fashion's Ebitda contribution from ethnic wear and other segments grew to 4% from -5%, led by a recovery in fast fashion, innerwear, and recent ethnic wear foray.

Click on the attachment to read the full report:

Motilal Oswal Aditya Birla Fashion & Retail Annual Report Update.pdf

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