Rupa & Company Limited — PPTs, 06-02-2025: Investor Presentation

**Financial Highlights:** Rupa & Company reported Q3 revenues of ₹316 crore, a slight decrease of 0.6% year-on-year, while revenues for the nine-month period reached ₹824 crore, up 1% YoY. EBITDA surged 15% in Q3 to ₹38 crore, boosting margins by 170 bps to 12%. Net profit also rose by 14% YoY to ₹24 crore, leading to a 100 bps improvement in margins to 7.5%. The company achieved a net cash surplus of ₹30 crore as of December 31, 2024, with strong operational cash flows generating ₹65 crore in 9M FY25.

**Strategic Initiatives and Growth Drivers:** Rupa is focusing on expanding its Exclusive Brand Outlet (EBO) network, which now comprises 35 stores, with plans to add over 100 more in FY26. The company is also enhancing its presence in modern trade, achieving a 26% growth in this segment in 9M FY25. On the export front, revenue contributions have increased, with a particular emphasis on markets such as the Middle East and Africa.

**Business Developments:** The continuous growth in the economy and athleisure segments is resulting in a steady rise in sales volumes, which grew approximately 3% during the first nine months. Rupa's branding efforts, which account for 5.6% of total revenues, focus on expanding brand presence and consumer outreach.

**Market Position and Competitive Advantage:** Positioned as a leading knitwear brand in India, Rupa boasts a diverse product portfolio and strong distribution channels, including over 150,000 retail outlets. The company leverages technological advancements in manufacturing to maintain high quality and cost-efficiency.

**Investor Implications:** Rupa's effective cost management and operational efficiency, coupled with its diverse brand offering and expansion strategies, suggest a positive outlook for future growth. Investors should watch closely for continued performance improvements and market positioning developments in key segments and regions.