Khadim India Limited — PPTs, 14-02-2025: Investor Presentation

**Financial Highlights:** Revenues for the quarter reached ₹1,601.7 Mn, showing a 2.5% year-over-year increase, while the nine-month figure was ₹4,746.5 Mn, up by 0.7% YoY. Gross margins were 44.6% for the quarter and 46.7% for the nine-month period, reflecting a 160 bps decline. EBITDA stood at ₹148.1 Mn (down 18.7% YoY) with margins at 9.2%, and PAT was ₹11.7 Mn, down 36% YoY.

**Strategic Initiatives and Growth Drivers:** The company focuses on a two-pronged market strategy, leveraging both retail and distribution business models. Retail operations account for 74% of presence through a franchise model, while distribution expands across 28 states with 776 distributors.

**Business Developments:** The retail network expanded by 61 stores to a total of 890, enhancing market reach. The distribution segment saw a growth of 15 new distributors in the same timeframe.

**Market Position and Competitive Advantage:** Khadim is the second largest footwear retailer in India, with a strong footing in East and South India due to its expansive retail franchise and distributor network.

**Investor Implications:** The results reflect a stable growth trajectory, albeit with declining margins. The expanded store and distributor network positions Khadim favorably for long-term growth, indicating a positive outlook despite current challenges in profitability. Potential investors should watch closely for operational improvements and margin recovery.