Professional Documents
Culture Documents
Disclaimer
Certain statements in this release concerning our future growth prospects are forward-looking statements
within the meaning of applicable securities laws and regulations , and which involve a number of risks and
uncertainties,beyond the control of the Company, that could cause actual results to differ materially from those in such
forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks
and uncertainties regarding fluctuations in earnings, our ability to manage growth, intense competition including those
factors which may affect our cost advantage, wage increases, our ability to attract and retain highly skilled professionals,
political instability, legal restrictions on raising capital or acquiring companies outside India, and unauthorized use of our
intellectual property and general economic conditions affecting our industry. Shopper’s Stop Ltd. may, from time to time,
make additional written and oral forward looking statements, including our reports to shareholders. The Company does
not undertake to update any forward-looking statement that may be made from time to time by or on behalf of the
company.The Company also expects the media to have access to all or parts of this release and the management’s
commentaries and opinions thereon, based on which the media may wish to comment and/or report on the same. Such
comments and/or reporting maybe made only after taking due clearance and approval from the Company’s authorized
personnel.The Company does not take any responsibility for any interpretations/ views/commentaries/reports which may
be published or expressed by any media agency,without the prior authorization of the Company’s authorized personnel.
2
Business Overview
First Citizen members base increased to over 17,08,000 and their
contribution to sales is 73%.
13th & 14th MAC SIS Store opened at Amritsar and Andheri
on 3rd May,2010 and 25th July,2010 respectively.
Amritsar
• Presence in 13 Cities Noida
Delhi(3)
Gurgaon(1)
– Shoppers’ Stop 30 Ghaziabad (1)
– Home Stop 4 Lucknow
Jaipur
– Mother Care 24[16]
– Mac & Clinique 20 (12) Ahmedabad
– Estee Lauder 3
Baroda
– Airport 2 Kolkatta(3)
– Crossword 32 [7] 8
Pune
• -- Arcelia 1
(2)
• Total Area 2,063,150 Sq.ft. Mumbai
(8) Hyderabad
4
Andheri Store Re-launch – 5th June 2010
5
New Store Opened
Location : Koramangala (Bangalore)
1,000,000
500,000
Mar07
Mar08
Mar,09
Mar,10
Jun,10
Store Area as on 30th June,10 Chargeable Area (Sq.ft.)
Shoppers Stop 1,816,272
Specialty Stores 2,46,878
--------------
Total Store Area 20,63,150
=========
7
Key Financial Highlights – Q1 2010-11
• Sales Growth:
Shoppers Stop department stores : 26%
All formats : 25%
66 17% 30%
64 63.58 LTL stores
62 2 5% grown by 6%
60 24%
58 25%
56 54.43 LTL stores
54 degrown by 0.3%
52 20%
50
48 Q1-09-10 Q1-10-11
Q1-09-10 Q1-10-11
560
540
545
520
500
Q1-09-10 Q1-10-11
22.0%
•Private Label Mix 17.9%
19.0%
decreased by 1.5% 16.4%
16.0%
13.0%
10.0%
Private Label
% Mix
100
75 52
45 44
50 35 13 11
25
0
Q1-09-10 Q1-10-11
Bought Out Consignment/SOR Concession 11
Revenue Mix – Q1 2010-11
CATEGORY WISE SALES (%)
80.0%
70.0% Q1-09-10
57.9% 58.0%
Q1-10-11
60.0%
50.0%
42.1% 42.0%
40.0%
30.0%
20.0%
10.0%
0.0%
Apparels Non Apparels
33.0% 30.7%
Watches, Jewellery, 28.0%
30.6%
ns
es
s
s
el
en
re
di
ar
M
ld
La
pp
Children includes Mother Care
hi
A
C
on
12
N
Operational Efficiency Q1 -2010-11:
Shrinkage as % of Gross Retail Sales
(SS Dept. Stores)
Q1-2010-11
1.0%
0.45% 0.43%
0.7%
0.4%
0.1%
Q1-09-10 Q1-10-11
13
Format wise P&L Q1 -2010-11 Rs.in lacs
O t he r
Q1-2010-11 SS D ept O t her F o rm at s C o m pany Q1-2009-10 S S D e pt
F o rm a t s
C o m pa ny
Operating Income 213.4 122.9 336.3 Operating Income 176.4 70.4 246.8
Gross Margin 10,602.5 2,288.8 12,891.3 Gross Margin 8,410.9 1,743.4 10,154.3
% to sales 33.1% 36.6% 33.7% % to sales 33.0% 34.3% 33.2%
Operating Expenses 8,650.1 2,073.7 10,723.9 Operating Expenses 7,106.4 1,779.7 8,886.1
% to sales 27.0% 33.2% 28.0% % to sales 27.9% 35.0% 29.1%
Finance Charges 251.3 80.1 331.4 Finance Charges 363.9 184.1 548.0
% to sales 0.8% 1.3% 0.9% % to sales 1.4% 3.6% 1.8%
PBT - Before Exceptional Item s 1,492.5 41.3 1,533.9 PBT - Before Exceptional Item s 672.0 (315.8) 356.2
% to sales 4.7% 0.7% 4.0% % to sales 2.6% -6.2% 1.2%
• Home Stop
• Crossword
• Mothercare
• MAC, Clinique & Estee Lauder
• Arcelia
• Airport Retail (Domestic)
• Ecom
14
Financial Summary – Q1 2010-11
Shopper’s Stop Ltd. Rs. in lacs
Particular Q1-10-11 Q1-09-10
Rs Rs
45,000 Lacs 38,574.0 19,000 Lacs
40,000 17,000
25,000 11,000
10,154.3
Gross Margin %
20,000 9,000 Increased by 50
15,000 7,000 basis points
10,000 5,000
5,000 3,000
1,000
0
Q1-2009-10 Q1-2010-11 -1,000
Q1-2009-10 Q1-2010-11
EBIDTA PAT
Rs Rs
3,000 Lacs 1,200 Lacs
2,503.7 1,002.0
2,500 1,000
2,000 800
1,515.1
1,500 600
252.4
1,000 400
500 200
0 0
Q1-2009-10 Q1-2010-11 Q1-2009-10 Q1-2010-11
16
16
Consolidated Financial – Q1 2010-11
Rs. in lacs
Particular Q1-2010-11 Q1-2009-10
Consolidation includes:
Retail Turnover 39,831.2 31,937.3 25%
• Shoppers Stop Limited
• Crossword Bookstores Ltd.
Retail Sales (Before VAT) 39,307.1 31,583.2 • Timezone Entertainment Pvt. Ltd.
• Nuance Group (India) Pvt. Ltd.
• Gateway Multichannel Ltd.
Retail Sales (Net of VAT) 37,443.8 30,154.2 • Hypercity Retail (India) Ltd.
Margin on Sales 13,419.9 10,945.8 23%
Margin on Sales % 34.1% 34.7%
APPLICATIONS OF FUNDS
FIXED ASSETS
Net Block 31,385 29,867
21
Positioning & Product Strategy: Large Footfalls attracted Due to the Widest
Product Offering by a Hypermarket in India
22
Flexible Business Model Eyeing Margins and Product Quality
Business Model to focus on footfalls and margins… A strong own brand portfolio that covers main customer segments
79% 21%
General 38% 19.3%
Merchandise
24
Proof of Concept Established, Roll Out Planned to Become Pan-India Operator
No of stores
Proof of
concept
• Cluster based growth strategy, with Core and Mid sized stores
• Focus on markets based on Income group rather than tier I, tier II rankings
25
Key Financials Highlights – Q1 2010-11
SalesGrowth:
Hypercity Sales Growth 123%
LTL Sales Growth 16%
33
35 78 76
30 76
25 74
20 15 72
15 70
70
10
5 68
- 66
Q1 FY10 Q1 FY11 Q1 FY10 Q1 FY11
42.7%
43.0% 1,080 1,069
42.0% 1,060
41.0% 1,040
40.0% 1,020
39.3%
1,000 987
39.0%
980
38.0%
960
37.0% 940
Q1 FY10 Q1 FY11 Q1 FY10 Q1 FY11
Discovery club members and their contribution
Discovery Club Members [Since Inception] (In ‘000)
120
98
100
78
80
60
40
20
0
Mar-10 Jun-10
37.0%
35.8%
36.0%
35.0%
33.8%
34.0%
33.0%
32.0%
31.0%
30.0%
Mar-10 Jun-10
HyperCity Financials Q1 - 2010-11
Rs.in lacs
Particular Q1-2010-11
RetailSales(IncludingVAT) 14,032
RetailSales(NetofVAT) 12,981
GrossMargin 2,650
GrossMargin% 20.4%
DCCost 204
Shrinkage 57
Damages/Others 38
NetMargin 2,351
NetMargin% 18.1% Rs.in lacs
PAT (1,808)
PAT% -13.9%
In case of any clarifications please
contact on
investor@shoppersstop.co.in
30