Their sourcing as a service segment has higher margins, in design led sourcing the entire merchandise value is accounted to the topline and hence the thin margins, whereas in SAAS only the actual commission charges is reflected into the topline. Also operating leverage can kick in with SAAS as the existing employees and network can do more than what is being done now.
Game changer would be if somebody like a Walmart uses their SAAS segment for all their apparel(textile) needs.
Disc: Invested, patience has started to wear.
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