 "Would surpass Rs 21,000-crore revenue target by 2026: ABFRL chairman")
Aditya Birla Fashion and Retail Ltd (ABFRL) is confident of fortifying its market position further and surpassing the projected revenue of Rs 21,000 crore by 2026, said its chairman Kumar Mangalam Birla on Monday.
ABFRL is leveraging technology and its execution excellence to build a strong, profitable and future-ready brand portfolio, Birla told shareholders at the 15th annual general meeting of the company.
"We had projected a revenue of Rs 21,000 crore for the year 2026 during our annual investor day held in March 2021. I am very confident that we will be able to surpass that target and set even higher milestones for the business going forward," he said.
For the financial year ended on March 31, 2022, ABFRL's revenue stood at Rs 8,136 crore, recording a growth of 55 per cent.
"The strong revenue recovery resulted in improved profitability over the previous year. Several initiatives encompassing cost management, supply chain optimisation and smart procurement were taken up by the business teams that contributed to the sharp improvement in profitability," he said.
ABFRL is working on strategic alliances and is building a comprehensive set of iconic brands.
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As part of that the Aditya Birla Group firm had entered into a partnership with Shantanu and Nikhil by forging new alliances in FY21 with two of India's most iconic designers -- Tarun Tahiliani and Sabyasachi.
"Both these partnerships will further strengthen our presence in the luxury wedding and designer wear market," he said.
It had also entered into a tie-up with one of India's youngest next-gen designers Masaba Gupta.
"Through such acquisitions and partnerships, your company now has one of the strongest and most comprehensive ethnic portfolios of brands in the Indian apparel industry and is now ready to expand exponentially," he said.
In FY22, ABFRL also launched premium ethnic wear brand Tasva in partnership with Tarun Tahiliani.
"The brand has received a stellar response so far. Six stores were opened in FY22, and the brand is expected to add around 70 stores in FY23, making it one of the fastest expansion stories in the premium ethnic space in the country," Birla added.
ABFRL has in FY22 entered into a long-term licensing agreement with Reebok, getting exclusive rights to distribute and sell Reebok products through wholesale, e-commerce and Reebok branded retail stores in India.
It had also announced its entry into the D2C segment with its subsidiary TMRW.
"This business will build and acquire a portfolio of digital-first brands to accelerate ABFRL's presence in the emerging digital ecosystem," he said.
To support this growth agenda in new emerging areas such as ethnic, athleisure, and D2C, ABFRL has announced an equity infusion of Rs 2,195 crore from Singapore's sovereign wealth fund, GIC, which signals the strength of company's business model and its growth prospects.
ABFRL under Madura Fashion and Lifestyle business is a repertoire of leading apparel brands such as - Louis Philippe, Van Heusen, Allen Solly and Peter England.
While its international brand portfolio includes The Collective, India's largest multi-brand retailer of international brands, Simon Carter and select mono-brands such as Forever 21, American Eagle, Ralph Lauren, Ted Baker and Fred Perry.
It also owns fashion retail chain Pantaloons having over 370 stores spread across 180 cities.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)