Spencer's Retail Limited has informed the Exchange about Investor Presentation
SRL:SEC:SE:2022-23/53
November 14, 2022
The Manager Listing Department, National Stock Exchange of India Limited (Symbol: SPENCERS) 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 (Scrip Code: 542337) Phiroze Jeejeebhoy Tower Dalal Street Mumbai – 400 001 (Scrip Code:542337)
Sub: Investor Updates / Press Release for the quarter ended September 30, 2022.
Pursuant to Regulation 30 of SEBI (LODR) Regulation, 2015, Please find annexed herewith a copy of the Investor updates / press release dated November 14, 2022 for the quarter ended on September 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
Neelesh Bothra Chief Financial Officer
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 – Q2 FY23
Nov-22
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Key Consolidated performance highlights
• Q2 FY23 business growth of 12% YoY coupled with improved consumer footfalls &
sustained OMNI Channel growth
• Sustaining Gross margin % at 20.5% in Q2FY23 driven by Business growth in both Food &
Non-Food category mix (i.e. General Merchandise & Apparel)
• Q2 Non-Food Mix surpassed Pre-Pandemic levels and has touched highest ever in last 3
years
• Our OMNI Channel Business turns EBITDA positive for the first time with a GMV of
₹78crore in Q2 & ₹151crore in H1, Improvement in EBITDA Margins from (-) 11% to 9%
(Q2FY22 vs Q2FY23)
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Consolidated Financial Parameters FY23
Quarter
Quarter
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Annualised Gross Sales per sqft
621 649 Revenue from Operation (₹ Cr)Q1FY23Q2FY2320.6%20.5%Gross Margin (%)Q1FY23Q2FY231600016800Gross Sales per Sq ft (₹) Q1FY23Q2FY231.46 1.49 Trading Area (Mn Sq ft) Q1FY23Q2FY23 Consolidated Financial Parameters FY23
H1
H1
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Annualised Gross Sales per sqft
1,134 1,270 Revenue from Operation (₹ Cr)FY22FY2320.8%20.6%Gross Margin (%)FY22FY231500016900Gross Sales per Sq ft (₹) FY22FY231.47 1.49 Trading Area (Mn Sq ft) FY22FY23 Spencer’s Business Highlights
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Natures Basket Business Highlights
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Business Growth of 12% vs Q2FY22
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30-Sep-2230-Jun-2230-Sep-21Y-o-YQ-o-Q30-Sep-2230-Sep-21649 621 582 12%5%Revenue from operations1,270 1,134 Expenses:516 493 459 Cost of Goods Sold1,009 898 133 128 123 8%4%Gross Margin261 236 20.5%20.6%21.1%-65 bps-16 bpsGross Margin %20.6%20.8%53 46 46 16%15%Employee expenses99 93 78 76 64 22%3%Other expenses154 124 5 18 13 -60%-72%Other income23 36 7 24 26 EBITDA31 55 1.0%3.9%4.4%-337 bps-287 bpsEBITDA %2.4%4.9%33 32 30 Depreciation66 62 27 26 24 Finance costs53 46 (54) (34) (29) PBT(88) (52) -8.3%-5.4%-4.9%-335 bps-287 bpsPBT %-6.9%-4.6%(0.1) (0.1) (0.1) Tax Expenses(0.2) (0.3) (54) (34) (29) PAT(87) (52) (0.3) (0.2) (0.2) Other Comprehensive Income(0.5) (0.3) (54) (34) (29) Total Comprehensive Income(88) (53) 3 months endedGrowthConsolidated (₹ Cr) 6 months ended Business Growth of 15% vs Q2FY22
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30-Sep-2230-Jun-2230-Sep-21Y-o-YQ-o-Q30-Sep-2230-Sep-212 2 1 New Stores added4 3 157 155 155 Total Store count157 155 0.12 0.31 0.01 TA added (Lac sq.ft)0.43 0.40 13.86 13.57 13.69 TA exit (Lac sq.ft)13.86 13.69 581 555 507 15%5%Revenue from operations1,135 979 469 446 407 15%5%Cost of Goods Sold915 789 112 108 100 12%4%Gross Margin220 191 19.3%19.5%19.8%-47 bps-21 bpsGross Margin %19.41%19.46%44 38 37 21%15%Employee expenses83 74 65 64 52 23%2%Other expenses128 103 5 18 8 -42%-73%Other income23 29 8 24 19 EBITDA32 43 1.4%4.4%3.8%-247 bps-301 bpsEBITDA %2.8%4.4%24 24 23 Depreciation48 46 22 20 19 Finance costs42 36 (37) (20) (22) PBT(57) (39) -6.4%-3.6%-4.4%-205 bps-277 bpsPBT %-5.1%-4.0%- - - Tax Expenses- - (37) (20) (22) PAT(57) (39) (0.3) (0.3) (0.2) Other Comprehensive Income(0.5) (0.3) (37) (20) (22) Total Comprehensive Income(58) (39) 3 months endedGrowthSRL Standalone (₹ Cr) 6 months ended Natures Basket Standalone
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30-Sep-2230-Jun-2230-Sep-21Y-o-YQ-o-Q30-Sep-2230-Sep-2134 35 35 Total Store count34 35 1.05 1.07 1.03 TA exit (Lac sq.ft)1.05 1.03 69 67 75 -8%3%Revenue from operations136 155 48 47 53 -8%3%Cost of Goods Sold96 110 20 20 22 -8%4%Gross Margin40 45 29.7%29.4%29.7%-7 bps27 bpsGross Margin %29.5%28.9%7 6 7 1%19%Employee expenses13 14 16 14 13 20%12%Other expenses30 24 0 0 4 -89%33%Other income1 6 (1.7) 0.1 7 EBITDA(2) 14 -2.5%0.2%8.9%-1146 bps-271 bpsEBITDA %-1.2%8.8%9 8 7 Depreciation18 15 5 5 5 Finance costs10 10 (16) (13) (6) PBT(30) (11) -23.9%-19.7%-7.4%-1651 bps-416 bpsPBT %-21.9%-7.0%- - - Tax Expenses- - (16) (13) (6) PAT(30) (11) 0.0 0.0 0.0 Other Comprehensive Income0.0 0.0 (16) (13) (6) Total Comprehensive Income(30) (11) 3 months endedGrowthNBL Standalone (₹ Cr) 6 months ended “ORIPL” Business turns Profitable for the 1st time
Our E-commerce company turns EBITDA Positive at GMV ₹ 78crore for Quarter 2
Pre-Pandemic
GMV (₹ in Cr)
• •
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.
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20 151 H1 FY20H1 FY2230-Sep-2230-Jun-2230-Sep-21Y-o-YQ-o-Q30-Sep-2230-Sep-2178 73 74 1.1x1.1xGross Merchandise Value (GMV)151 192 5.4 5.1 5.1 6.0%7.6%Revenue from operations10.5 13.0 Expenses:1.9 2.0 2.4 -20%-3%Employee expenses3.9 5.5 3.0 3.3 3.5 -15%-8%Other expenses6.3 9.0 0.0 0.0 0.2 Other income0.0 0.3 0.5 (0.2) (0.6) 187%336%EBITDA0.3 (1.2) 9.0%-4.1%-11%EBITDA %3%-9%0.3 0.2 0.2 12%14%Depreciation0.5 0.5 0.4 0.3 0.2 Finance costs0.7 0.6 (0.2) (0.8) (1.0) 84%80%PBT(0.9) (2.2) -2.8%-15.6%-19%PBT %-9%-17%- - - Tax Expenses- - (0.2) (0.8) (1.0) 84%80%PAT(0.9) (2.2) (0.1) - (0.0) Other Comprehensive Income(0.1) (0.0) (0.2) (0.8) (1.0) 78%73%Total Comprehensive Income(1.0) (2.2) ORIPL Standalone (₹ Cr) 6 months ended 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 191 stores with a total 14.91 Lacs Square Feet in over 43 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.
Nov-22
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Spencer’s Retail Limited
Q2 FY23 – Highlights: Business Growth of 12% YoY with highest ever Non-Food Mix in Last 3 years
Sustained OMNI Channel Growth
OMNI Channel Business is operationally profitable at GMV of ₹78crore 7.6x Growth vs Pre Pandemic FY1920
H1 FY23 – Highlights: Business Growth of ~12% YoY with sustained high Non-Food Mix
OMNI Channel Business is operationally profitable at GMV of ₹151crore,
7.6x Growth vs Pre Pandemic FY1920
Kolkata: Nov 14, 2022: Spencer’s Retail Ltd reported standalone turnover of ₹581 crore and Gross Margin of 19.3% for quarter ended Sep 30, 2022. Spencer’s operates with 157 Stores with a total trading area of 13.86 Lacs square feet as on Sep 30, 2022.
Natures Basket Ltd reported standalone turnover of ₹69 crore and Gross Margin of 29.7% for the quarter ended Sep 30, 2022. Natures Basket operates with 34 stores with a total trading area of 1.05 Lacs square feet as on Sep 30, 2022.
We have opened 2 new Spencer’s stores during the quarter and 4 new Spencer’s stores during H1 having Trading Area of ~12k sq.ft and ~43k sq.ft respectively.
Unaudited Consolidated Financial Results for the quarter ended Sep 30, 2022:
Revenue for the quarter ₹ 649 Cr & Gross Margin ₹ 133 Cr at 20.5% EBITDA ₹7 Cr PBT (-) ₹54 Cr OMNI Channel Company ‘ORIPL’ delivered first ever positive EBITDA at GMV ₹78cr
Unaudited Consolidated Financial Results for the period ended Sep 30, 2022:
Revenue for the period ₹ 1270 Cr & Gross Margin ₹ 261 Cr at 20.6% EBITDA ₹31 Cr PBT (-) ₹88 Cr OMNI Channel Company ‘ORIPL’ delivered first ever positive EBITDA at GMV ₹151cr
Mr. Shashwat Goenka, Sector Head, said, “Our business has grown by 12% year-on-year basis backed by improved consumer sentiments and sustained OMNI Channel presence. The growth is also driven by both Food & Non-Food businesses delivering better than last year and the previous quarter as well.
Digital transformation for our E-commerce business started during the pandemic which is now yielding fruit. ORIPL (Our OMNI Channel Business for home & online delivery) delivered the first-ever positive EBITDA for the Quarter & for the period that ended September with a GMV of ₹78 crores and ₹151 crores respectively.
Mr. Goenka added, “Positive growth momentum coupled with a strong Festive season as witnessed in the month of September and October, we are confident of our business performance.”
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 191 stores (including Natures Basket) with a total 14.90 Lacs Square Feet in over 43 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.