V-Mart Retail Q4 loss widens to Rs 37 crore

By

Maverick Martins

Published
May 17, 2023

V-Mart Retail Ltd, a leading value fashion retailer reported a net loss of Rs 37 crore ($4.6 million) for the fourth quarter ended March 31, as against Rs 3 crore in the corresponding quarter last fiscal.

The company’s sales for the quarter rose by 29 percent to Rs 594 crore, as against Rs 459 crore reported in the corresponding period of the previous fiscal year.

For the full fiscal 2022-23, the company posted a loss of Rs 8 crore, as against a profit of Rs 12 crore in FY22.

Despite the losses, the company is confident of a turnaround in the coming quarters and expects strong contribution from its recently acquired Unlimited stores and online platform Limeroad.

“Since the acquisition of Unlimited stores in south India, V-Mart has been able to integrate the business seamlessly and bring the operations to profitable growth, with the unit contributing Rs 438 crore in revenue for the full year,” V-Mart said in a statement.

“V-Mart’s recent strategic acquisition of Limeroad, an online fashion marketplace, to bolster its omni vision is already proving to be a promising move, with the platform net sales increasing by 88 percent post-acquisition. It has also been successful in achieving a significantly higher customer conversion rate for V-Mart products listed on Limeroad when compared to any other marketplace and paving the path for more synergetic omni operations in the future,” it added.

During the fourth quarter, the company opened 17 outlets and closed eight existing stores to take its store count to 423.