Baazar Style Retail Limited — PPTs, 14-05-2025: Investor Presentation

1. Financial Highlights:

Baazar Style Retail posted revenue of Rs 1,343.7 Cr for FY25, up 38% YoY. Gross profit increased 39% to Rs 452.4 Cr with margin slightly improving to 33.7%. Adjusted EBITDA was Rs 94.4 Cr (7.0% margin), slightly down from 7.4% last year. Adjusted profit before tax grew 33% to Rs 52.4 Cr. Store count rose to 214 (+52), expanding retail space by 31% to 19.21 lakh sq. ft. Sales per sq. ft increased 13% to Rs 721/month, with same-store sales growth steady at 13%. Inventory and lease assets grew with expansion; borrowings remain moderate at Rs 177 Cr long-term and Rs 149 Cr short-term.

2. Strategic Initiatives & Growth Drivers:

Focus on cluster-based expansion in underpenetrated Tier-2 to Tier-4 towns in eastern and central India aims to improve supply chain and marketing efficiencies. Private labels, now 45% of revenue (Rs 602.6 Cr), continue gaining traction, centered on apparel and general merchandise. Enhanced marketing, including regional celebrities and ATL/BTL campaigns, supports improved footfalls and customer engagement.

3. Business Developments:

Added 10 private labels, including Rs 200 Cr+ brand Square Up, boosting customer engagement and margins. Store additions targeted core states West Bengal, Odisha, Assam, Bihar, and growth states Jharkhand, Andhra Pradesh, Uttar Pradesh. Broadened assortment across apparel, home, and accessories to reinforce the “one-stop family shopping” model.

4. Market Position & Competitive Advantage:

Leader in value fashion retail in East India with strong presence in West Bengal and Odisha. Scale (214 stores, 19.21 lakh sq. ft) and reach (174 cities) provide cost and brand visibility advantages. Growing private label share enhances differentiation through exclusive product offerings and pricing control. Repeat customer rate at ~71% highlights solid brand loyalty.

5. Investor Implications:

Strong top-line growth, margin improvement, and rising private label revenue suggest positive growth potential. Cluster expansion and marketing efforts support scalable growth in untapped markets, though execution risk exists around new store ramp-ups and margin pressures. Key metrics to watch include same-store sales growth and margin sustainability to gauge operational strength.