Metro Brands Q3 Results Review - Positive Surprise; Highest Ever Store Addition: ICICI Securities

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .ICICI Securities Report.Metro Brands Ltd.’s Q3 FY23 performance was a positive surprise with highest ever store (48 stores) addition till date. This may drive consensus upgrades. Incremental focus towards distribution driven revenue growth under Fila and Proline brands (now consolidated in standalone financials effective Dec 01, 2022) is a key growth vector. However, we await more clarity on exclusive brand outlet/multi brand outlet mix in the growth plans. As per exit run-rate, these brands likely contribute ~5% to overall revenue. Relative success in ramping-up own brands (revenue contribution at 74% versus ~70% during FY17-19) is encouraging. Sequential deflation in input-cost is incremental positive. Metro Brands’ right mix of brands provide growth runway (of store addition). Its focus on financial discipline along with balance sheet strength provides confidence on the execution. Besides, a platform of choice for international brands aids confidence on new avenues (of growth). .Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Metro Brands Q3 Results Review - Positive Surprise; Highest Ever Store Addition: ICICI Securities

Metro Brands’ right mix of brands provide growth runway (of store addition).

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