Spencer's Retail Limited has informed the Exchange about Investor Presentation
SRL:SEC:SE:2022-23/35
August 11, 2022
The Manager Listing Department, National Stock Exchange of India Limited Exchange Plaza, 5th Floor Plot No. C/1, G-Block Bandra-Kurla Complex Bandra (East), Mumbai – 400 051 (Symbol : SPENCERS)
Dear Sir/Madam,
The General Manager Department of Corporate Service, BSE Limited Phiroze Jeejeebhoy Tower Dalal Street Mumbai – 400 001 (Scrip Code:542337)
Sub: Investor Updates / Press Release for the quarter ended June 30, 2022.
Pursuant to Regulation 30 of SEBI (LODR) Regulation, 2015, Please find annexed herewith a copy of the Investor updates / press release dated August 11, 2022 for the quarter ended on June 30, 2022.
The above information is also available on the website of the Company at www.spencersretail.com.
Thanking you. For Spencer’s Retail Limited
Rama Kant Company Secretary & Compliance Officer FCS-4818
Encl: as above
Spencer's Retail Limited Regd. Office: Duncan House, 31, Netaji Subhas Road, Kolkata-700 001 Corp. Office: RPSG House, 2/4 Judges Court Road, Kolkata-700 027 Tel: +91 33 2487 1091 Web: www.spencersretail.com CIN: L74999WB2017PLC219355
Earnings Presentation – Q1 FY23
Aug-22
| RP-Sanjiv Goenka Group Presentation
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Key Consolidated performance highlights
• Q1 FY23 business growth of 15% QoQ coupled with improved consumer footfalls &
sustained OMNI Channel growth
•
Improvement in EBITDA by 11cr, 24cr Q1FY23 vs 13cr Q4FY22
• Gross margin % at 20.6% Q1FY23 vs 20.2% Q4FY22 driven by improvement in both Food
& Non-Food category mix (i.e. General Merchandise & Apparel)
• Q1 Non-Food Mix surpassed Pre-Pandemic levels and has touched highest ever in last 3
years
• OMNI Channel business with a GMV of Rs 73crore, Improvement in EBITDA Margins % by
477 bps to (-) 4.1% from (-) 8.9% (Q1FY23 vs Q1FY22)
Aug-22
| RP-Sanjiv Goenka Group Presentation
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Consolidated Financial Parameters FY23
Quarter
Revenue from Operation (₹ Cr)
621
542
Q4FY22
Q1FY23
Gross Margin (%)
20.2%
20.8%
Quarter
Gross Sales per Sq ft (₹)
17400
14400
Q4FY22
Q1FY23
Trading Area (Mn Sq ft)
1.47
1.49
Aug-22
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Q4FY22
Q1FY23
Q4FY22
Q1FY23
Annualised Gross Sales per sqft
Spencer’s Business Highlights
Aug-22
| RP-Sanjiv Goenka Group Presentation
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Natures Basket Business Highlights
Aug-22
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₹11cr Improvement in EBITDA vs Q4FY22
Improvement in
business mix and
margins
Last Year we had
one time COVID
related benefits in
cost and one time
gain in other
income
Aug-22
| RP-Sanjiv Goenka Group Presentation
6
30-Jun-2231-Mar-2230-Jun-21Y-o-YQ-o-Q31-Mar-22621 542 552 13%15%Revenue from operations2,300 Expenses:493 432 439 Cost of Goods Sold1,823 128 110 113 13%17%Gross Margin477 20.6%20.2%20.5%15 bps41 bpsGross Margin %20.7%46 50 47 -1%-8%Employee expenses189 76 69 59 28%10%Other expenses264 18 23 23 -19%-20%Other income77 24 13 30 EBITDA101 3.9%2.4%5.4%-149 bps149 bpsEBITDA %4.4%32 31 32 Depreciation126 26 25 22 Finance costs97 (34) (43) (24) PBT(122) -5.4%-7.9%-4.3%-114 bps243 bpsPBT %-5.3%(0.1) (0.1) (0.1) Tax Expenses(0.5) (34) (42) (24) PAT(121) (0.2) (2.7) (0.2) Other Comprehensive Income(3.2) (34) (45) (24) Total Comprehensive Income(125) 3 months endedGrowthConsolidated (₹ Cr) 12 months ended ₹ 11cr improvement in EBITDA vs Q4FY22
Enhancement in
gross margins % in
both Food & Non-
Food Business
Last Year we had
one time COVID
related benefits in
cost and one time
gain in other
income
Aug-22
| RP-Sanjiv Goenka Group Presentation
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30-Jun-2231-Mar-2230-Jun-21Y-o-YQ-o-Q31-Mar-222 1 2 New Stores added4 155 154 154 Total Store count154 0.31 0.13 0.39 TA added (Lac sq.ft)0.53 13.82 13.57 13.69 TA exit (Lac sq.ft)13.57 555 476 472 17%16%Revenue from operations2,000 446 386 382 17%16%Cost of Goods Sold1,611 108 90 90 20%20%Gross Margin389 19.5%19.0%19.1%39 bps53 bpsGross Margin %19.4%38 41 37 4%-7%Employee expenses152 64 57 51 25%13%Other expenses219 18 21 21 -13%-11%Other income67 24 13 23 EBITDA85 4.4%2.8%5.0%-59 bps162 bpsEBITDA %4.2%24 22 23 Depreciation94 20 20 17 Finance costs76 (20) (28) (17) PBT(85) -3.6%-6.0%-3.6%-6 bps232 bpsPBT %-4.2%- - - Tax Expenses- (20) (28) (17) PAT(85) (0.3) (2.7) (0.2) Other Comprehensive Income(3.2) (20) (31) (17) Total Comprehensive Income(88) 3 months endedGrowthSRL Standalone (₹ Cr) 12 months ended Natures Basket Standalone
Sustaining Gross Margin
% on QoQ basis,
Improvement in Gross
Margin % of by 130 bps
YoY for Q1FY23 driven
by business mix
Aug-22
| RP-Sanjiv Goenka Group Presentation
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30-Jun-2231-Mar-2230-Jun-21Y-o-YQ-o-Q31-Mar-2235 36 33 Total Store count35 1.07 1.08 0.93 TA exit (Lac sq.ft)1.07 67 66 80 -17%1%Revenue from operations301 47 47 58 -18%1%Cost of Goods Sold214 20 19 22 -13%3%Gross Margin87 29.4%29.0%28.1%130 bps40 bpsGross Margin %28.9%6 7 7 -15%-15%Employee expenses27 14 14 11 30%0%Other expenses52 0 2 2 -81%-82%Other income9 0.1 0.3 7 EBITDA18 0.2%0.5%8.6%-841 bps-32 bpsEBITDA %5.9%8 8 8 Depreciation31 5 5 4 Finance costs20 (13) (13) (5) PBT(33) -19.7%-20.0%-6.7%-1304 bps22 bpsPBT %-11.0%- - - Tax Expenses- (13) (13) (5) PAT(33) 0.0 0.1 0.0 Other Comprehensive Income0.1 (13) (13) (5) Total Comprehensive Income(33) 3 months endedGrowthNBL Standalone (₹ Cr) 12 months ended “ORIPL” Business: Robust Growth
73
10
Q1FY20 Pre-Pandemic
Q1FY23
GMV (₹ in Cr)
Aug-22
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• •
ORIPL is an E-commerce company 100% owned Subsidiary of Spencer’s Retail Limited. OMNI Channel platform for Food, Grocery, Fresh, Apparel, General Merchandise and Liquor.
30-Jun-2231-Mar-2230-Jun-21Y-o-YQ-o-Q31-Mar-2273 73 118 0.6x1xGross Merchandise Value (GMV)329 5.1 4.8 7.9 -36.1%4.5%Revenue from operations22.1 Expenses:2.0 2.1 3.1 -37%-6%Employee expenses9.6 3.3 3.5 5.4 -39%-7%Other expenses15.1 0.0 0.4 0.0 Other income0.6 (0.2) (0.4) (0.6) -67%-52%EBITDA(1.9) -4%-9%-8%EBITDA %-8%0.2 0.2 0.2 -2%-2%Depreciation1.0 0.3 0.2 0.4 Finance costs0.9 (0.8) (0.9) (1.3) -37.7%-8.6%PBT(3.8) -16%-18%-16%PBT %-17%- - - Tax Expenses- (0.8) (0.9) (1.3) -38%-9%PAT(3.8) - (0.1) (0.0) Other Comprehensive Income(0.1) (0.8) (1.0) (1.3) -38%-20%Total Comprehensive Income(3.9) ORIPL Standalone (₹ Cr) 12 months 3 months endedGrowth Thank You
About Spencer’s Retail Limited: Spencer’s Retail Limited, part of RP-Sanjiv Goenka Group, is a multi-format retailer providing a wide range of quality products across categories such as FMCG, fashion, food, staples, general merchandise, personal care, home essentials, electrical and electronics to its consumers. specialty sections such as Spencer’s Gourmet, Patisserie, Wine & Liquor and Epicuisine section are some of the key differentiators in our hypermarket stores and in Natures Basket Limited L’exclusif, healthy alternatives and Natures. The first ever hypermarket in India was launched by Spencer’s in Hyderabad in 2000. Today, Spencer’s (including Natures Basket) runs 190 stores with a total 14.89 Lacs Square Feet in over 42 cities in India. Spencer’s brand positioning – MAKES FINE LIVING affordable– embodies its philosophy of delighting shoppers with the best products and services that enable a fine living at reasonable prices, while providing them with a warm, friendly and educational retail environment. Natures Basket Limited is a one shop destination for all multi cuisine cooking needs, healthy food including international food products. ORIPL is an E-commerce company 100% owned Subsidiary of Spencer’s Retail Limited. It is an OMNI Channel platform for Food, Grocery, Fresh, Apparel, General Merchandise and Liquor. Disclaimer: Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments, technological risks, and many other factors that could cause our actual results to differ materially from those contemplated by the relevant forward-looking statements. Spencer’s Retail Limited will not be in any way responsible for any action taken based on such statements and undertakes no obligation to publicly update these forward-looking statements to reflect subsequent events or circumstances.
Aug-22
| RP-Sanjiv Goenka Group Presentation
10
Spencer’s Retail Limited
Q1 FY23 – Highlights: Business Growth of 15% QoQ with highest ever Non-Food Mix in Last 3 years
Sustained OMNI Channel Growth
Enhancement of Gross Margin % by 53bps (Q4FY22 vs Q1FY23)
Kolkata: Aug 11, 2022: Spencer’s Retail Ltd reported standalone turnover of ₹555 crore and Gross Margin of 19.6% for quarter ended Jun 30, 2022. Spencer’s operates with 155 Stores with a total trading area of 13.89 Lacs square feet as on Jun 30, 2022.
Natures Basket Ltd reported standalone turnover of ₹67 crore and Gross Margin of 29.4% for the quarter ended Jun 30, 2022. Natures Basket operates with 35 stores with a total trading area of 1.07 Lacs square feet as on Jun 30, 2022. Natures Basket continues to be EBITDA positive on quarter on quarter basis driven by sustained higher margin and cost efficiencies.
We have opened 2 new Spencer’s stores during the year having Trading Area of ~31k sq.ft.
Unaudited Consolidated Financial Results for the quarter ended Jun 30, 2022:
Revenue for the quarter ₹ 621 Cr & Gross Margin ₹ 129 Cr at 20.8% EBITDA ₹24 Cr, improvement of 11crore QoQ (13crore in Q4FY22) PBT (-) ₹34 Cr, improvement of 9crore QoQ ( (-)43crore in Q4FY22)
Mr. Shashwat Goenka, Sector Head, said, “Our business has grown by 15% quarter on quarter basis backed by improved consumer footfalls and robust OMNI Channel presence. Our Gross margins % have also improved by 53bps on quarter on quarter basis with both Food & Non-Food delivering better.
Last year Q1 numbers are not comparable due to COVID, we have surpassed our Non Food business mix of Pre-Pandemic levels and have touched highest ever Non-Food Mix in last 3 years.
Mr. Goenka added, “Improved consumer sentiments & with ease of COVID restrictions coupled with pent-up demand and strong Festive season we are confident of our near term business prospects.”
About Spencer’s Retail Limited: Spencer’s Retail Limited (www.spencersretail.com | NSE: Spencers | BSE: 542337), part of RP-Sanjiv Goenka Group, is a multi-format retailer providing a wide range of quality products across categories such as FMCG, fashion, food, staples, general merchandise, personal care, home essentials, electrical and electronics to its consumers specialty sections such as Spencer’s Gourmet, Patisserie, Wine & Liquor and Epicuisine section are some of the key differentiators in our hypermarket stores and in Natures Basket Limited L’exclusif, Healthy alternatives and Natures. The first ever hypermarket in India was launched by Spencer’s in Hyderabad in 2000. Today, Spencer’s runs 190 stores (including Natures Basket) with a total 14.89 Lacs Square Feet in over 42 cities in India. Spencer’s brand positioning – Makes Fine Living affordable – embodies its philosophy of delighting shoppers with the best products and services that enable a fine living at reasonable prices, while providing them with a warm, friendly and educational retail environment. Natures Basket Limited is a one shop destination for all multi cuisine cooking needs, healthy food including international food products. ORIPL is an E-commerce company 100% owned Subsidiary of Spencer’s Retail Limited. It is an OMNI Channel platform for Food, Grocery, Fresh, Apparel, General Merchandise and Liquor. Disclaimer: Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments, technological risks, and many other factors that could cause our actual results to differ materially from those contemplated by the relevant forward-looking statements. Spencer’s Retail Limited will not be in any way responsible for any action taken based on such statements and undertakes no obligation to publicly update these forward-looking statements to reflect subsequent events or circumstances.