Shoppers Stop Limited — Others, 23-06-2025: Shareholders meeting

Shoppers Stop Limited has announced a board meeting to consider the financial results for the quarter and half-year 2024-25. The company will hold its 28th Annual General Meeting through video conferencing, during which Mr. B. S. Nagesh will retire by rotation and has chosen not to seek re-appointment, with Mr. Nirvik Singh set to succeed him as Chairman. Parikh & Associates have been proposed as Secretarial Auditors for a five-year term. Additionally, approval is sought for a related party transaction to increase management consulting fees payable to M/s. Invik Consulting, owned by Mr. Nirvik Singh, reflecting an expanded scope and strategic involvement.

The company continues its focus on premiumisation, with 64% sales contribution from premium brands and strong growth in its Beauty segment—sales rose to `1,095 Cr, including distribution. The INTUNE value fashion brand has seen 5x growth to `192 Cr with 71 stores, and new international brand partnerships have been added across categories. Retail stores are being modernized with immersive experiences and omnichannel integration, leveraging AI and data analytics to enhance customer engagement. The First Citizen loyalty programme contributes 81% of total sales with increased Black Card membership.

FY 2024-25 revenue increased 5% to `4,436 Cr with an EBITDA of `751 Cr (-2%). Profit after tax was `7 Cr, down from `74 Cr prior year, impacted by investments in new businesses and a soft first half. Net debt stands at `249 Cr excluding leases, as the company invests in expansion and renovation, including its flagship Malad store.

The company’s lease liabilities totaled `2,962 Cr with right-of-use assets of `2,377 Cr. Its borrowing mix includes long-term loans of `120 Cr and short-term loans of `166 Cr, secured by assets and receivables. Inventory stood at `1,920 Cr, with provisions for obsolescence and shrinkage at `43 Cr.

Shoppers Stop has maintained robust corporate governance with an independent board, including two women directors, and various board committees overseeing audit, risk, remuneration, and corporate social responsibility. The company continues to strengthen internal controls and compliance, including a whistleblower policy and zero tolerance for sexual harassment, with 22 POSH complaints received and mostly resolved.

Sustainability remains a key priority, with initiatives such as reduction in energy consumption, use of recyclable packaging, IoT-based energy monitoring in 87 stores, deployment of CPCB IV+ DG sets, and plans for solar power adoption. The company has accounted for Scope 1 and 2 greenhouse gas emissions and aims to reduce its carbon footprint. CSR spending was `0.82 Cr supporting empowerment and skill development for women and persons with disabilities.

The company faces ongoing tax litigations including a `180 Cr dispute on TDS disallowances and `20.11 Cr on retrospective service tax on rented properties, pending Supreme Court ruling. Legal compliance remains strict with no material penalties or frauds reported.

Overall, Shoppers Stop is navigating a challenging retail environment by balancing premium growth with value fashion expansion, investing in digital and store innovation, maintaining strong governance, and embedding sustainability into its business model to drive long-term shareholder value.