Prada’s new sandals with a striking resembly to our kolhapuri chappals may have created a buzz globally, but back home, metro brands ltd is in the limelight after addressing anoth-nir Stable.
British Footwear Brand Clarks has Announced a strategic partnership with metro. Under the long-term distribution agreement, Metro will be Clarks’ Exclusive Retail and Digital Partner for India and A Few NeighBouring Countries, Including Bangladesh, BHUTAN, BHUTAN, NEPALAS and SRI Lanka.
But this isn’t just about selling another important name. It’s about where metro is headed. The company is determining a multi-brand engine with premium Ambitions. Clarks’ Products Fall Into 3,000- 7,000 price band where metro alredy earns the Bulk of its reveal. Products Priceed Above 3,000 contributed 54% of FY25 sales.
E-commerce sales green 45% in fy25 and now form a teenth of total sales. Metro’s FY25 Revenue Increased 6% Year-On-Year To 2,507 Crore, A Modest Print. Gross Margin Dipped, but a tighter control on operating costs LED to a 50-Basis Points Growth in Ebitda Margin to 30.2%. Metro Added 70 Net Stores While Keeping Inventory Days Leaner.
Also read: Metro brands’ fy25 is a tale of two halves. Can the recovery be Sustained?
Clarks would brings scale. The brand clocked 200 Crore Consumer Sales in FY24, with 6% ebitda margin, as per a 23 june jm financial institutional securities report. Metro’s Retail Stretch of 908 stores Across 205 Cities, Curated Selections, and Omnichannel Play May Help Boost Clarks’ SAles.
To be sure, Clarks is not a Pivot for Metro, But Aids the Latter in Building A Retail Business Across Formats, Price Points and Geographies. It’s a Continuation of a theme that metro is moving upmarket.
Meanwhile, metro said in its Q4Fy25 Earnings Call that it is streamlining its other external brands. Fila’s losses halved in fy25 and its excess inventory clean-up is by. FY26 will see a re-launch via metro and mochi networks, with exclusive stores coming in the second hal.
Footlocker, launched late last year, is pacing itself more slowly. Post-bis supply constraints me only three new stores are likely before Q3Fy26. Niche play new era went live online in Q4Fy25 and has kiosks in Mumbai, Hyderabad, and Bengaluru.
Overall, Metro has delivered Revenue Cagr of About 15% Over the last decade “which it has strong potential to surpass in the coming decade”, said Emkay Global Financial Services. Valuations can act as a hurdle, thought. The Stock Trades at Nearly 58 Times FY27 Estimated Earnings, Showed Bloomberg Data.
Also read: Bata Struggles to put its best foot forward amid demand woes
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