Arvind Fashions posts Q3 net loss of Rs 66 crore
Arvind Fashions Ltd (AFL) reported a consolidated net loss of Rs 66 crore ($9.1 million) in the third quarter ended December 31, 2020, as against Rs 48 crore in the year-ago period.
The company’s sales revenue during the quarter under review was at Rs 911 crore, as compared to Rs 1,062 it had posted in the corresponding period last year.
Commenting on the results, AFL managing director and CEO, J Suresh, in a statement said: “With better than expected sales recovery through improved footfalls during the festival period which has resulted in significantly improved profitability and a cash breakeven for continuing business in Q3 FY21.
"Our focus on digital and omni-channel initiatives and a deep cost focus continue to deliver robust outcomes. At the back of strong Q3, we expect H2 FY21 to be significantly better in terms of sales & profitability growth,” he added.
AFL also stated that Flying Machine registered 70 percent online growth, aided by Flipkart’s strategic partnership. In July 2020, Flipkart had acquired about a 27 percent stake in AFL’s subsidiary Arvind Youth Brands, which owns denim label, Flying Machine.
Arvind Fashions Limited, which retails brands such as Calvin Klein, Tommy Hilfiger, and US Polo Assn., also stated that it plans to raise Rs 200 crore to strengthen its balance sheet this year.
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