Khadim Has Registered 190 Percent YoY Growth in PBT for Q3FY22

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Business Wire India

Khadim, India’s one of the leading footwear companies, has steered healthy revenue growth and robust growth in profit. The Company has announced positive quarterly performance for the quarter ended 31 December 2021. Revenue from operations for Q3FY22 grew by 14% QoQ and 6% YoY to INR 1850.40 mn from INR 1616.46 mn in Q2FY22 and INR 1740.82 mn in Q3FY21. The company’s Profit before tax for Q3FY22 amounted to INR 101.36 mn (5.5%) compared to a profit of INR 61.97 mn (3.8%) in Q2FY22 and a profit of INR 34.97 (2.0%) mn in Q3FY21.
 
Owing to the festive season, Q3 has always been a very special quarter for brands that deal with retail and fashion. The brand saw a good festive season this financial year. With the introduction of its trendy, edgy and vibrant product lines just before the festive season, the brand gained good momentum in terms of sales. Even the distribution business gained good traction in the festive season with the introduction of the new range of products across the sports, PU and Hawai categories. During the festive season, Khadim initiated a digitally focused marketing strategy aimed at the youth with numerous regional celebrities. Khadim launched #AbarPujoyJustKhadim & #DilMeinDiwaliAurPaironMeinKhadim campaigns which enabled the brand to re-establish its strategy to gain a TOPM recall of youngsters– as said by the CEO of Khadim India Limited Ms. Namrata Ashok Chotrani.

The asset-light model expansion strategy of the brand continued to strengthen its retail presence in tier II & III cities by opening 21 new retail stores during the third quarter taking the total retail presence to 768 stores. The company has achieved steady revenue growth across both its businesses – retail and distribution, and significant improvement in margins for Q3FY22.
 
Key Performance Highlights:
 

  • Achieved PBT of INR 101.36 mn in Q3FY22 against PBT of INR 34.97 mn in Q3FY21
  • Revenue from operations grew by 14% QoQ in Q3FY22 to reach INR 1850.40 mn from INR 1616.46 mn in Q2FY22
  • The distribution business vertical has achieved a 14 % YoY Growth in Q3FY22
  • GM% improved by 190 bps to 41.7% in Q3FY22 from 39.8% in Q3FY21
  • EBITDA % improved by 300 bps to 11.7% in Q3FY22 from 8.7% in Q3FY21
  • The Company has added 21 new retail stores across India in Q3FY22
  • Working capital efficiency has improved cash-flow position and strengthened the balance sheet