Q1FY24 Concall highlights
• Revenue 58Cr (82% YOY), EBITDA 6.5 Cr (65% YoY) PAT 3.1 Cr ( 90% YoY)
• Merger with IFF (parent company) from April 2024, turned profitable with decent EBITDA margin (not disclosed)
• IFF Revenue FY23: 48Cr, FY24 60-65Cr target
• Brand Concept supplies from IFF is ~10%
• Debt paid by IFF parent company, Balance sheet is cleaned
• Long term goal -want to manufacture inhouse to control supply chain
• New division starting- PMS (Product Management Service)- to provide services to other brand for Designing Product. Want to reach out to other brand which can’t be onboarded.
• Vision for 5 years- 30-35% CAGR growth for next 4 years (500 Cr Revenue in next 4 years i.e 3X in 4 yr)
• FY24 – Guidance 35% growth, high growth of Q1 will not dilute next 3Qs growth of 35%. (my estimate : 235-250 Cr )
• Seeing good response for the new brands- Supplied 68K bags to supplier so far
• Q3FY24 end- UCB and Aeropostale product will be launched fully
• West Kolkata TH store closed due to contract issue with Mall. Looking for alternative location
• Sales Mix- Travel-gear (Luggage, Backpack) :80%, Small Leather good (30%), Women handbag: 5-7%,
Brand Mix: Tommy Hilfiger: 80% , Other: 20%
• Trying to create different revenue stream for the company (Corporate Institution sales, Product Design services for other brands, Launching other brand product on BaglineIndia.com )
Overall all Management looked very confident about the growth prospect and clear vision for the company.
D: Holding and have been adding more. Not a buy/sell recommendation.
| Subscribe To Our Free Newsletter |
