Q3 fy 24 concall Note
Volume muted?
A: demand like entry segment is muted for all
Premium segment grew.
If premium grew, why it’s not reflecting in margin?
A: Is due to performance marketing and ad spends
Entry level is 20% now, earlier it was 35-36%.
Premium 45% now.
10% marketing is spend vs 5-7% in normal year. Spend level will be 6-6.5% in future.
Online is fattish, b to c ok. O 2 O takes time.
Other player doing margin 20% we are in 12%?
A: Increase in ad spend is the reason, that will normal soon
We have to spend extra to generate demand
Higher premium doesn’t necessary high margin.
Margin came down to 12 from 20-21. No guidance. But we are trying. Reduction on inventory days greatly
BIS: will restrict cheap import from china and Vietnam
Implemented from 1/1/2024
Local manufacturer will be benefited
Campus is the recipient of first BIS certificate. 100% compliant.
EBITDA margin long term long-term is aspiration is 20%.
Accenture is consulting partner
Online margin is higher than trade margin historically but situation is not stable.
Not major delta across the channel in future as we are putting efforts in performance marketing
Online was 38% last year.
Volume is flat but increase in other expenses?
A: Leasing, one of inventory, inflation and employee cost.
Current is tuff year for industries.
100 / year EBO is run rate and it will be continue same run rate.
Disc: Invested
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