Aditya Vision (540205) Q4 19/20 earnings summary

Executive summary

• FY20 gross revenue rose to ₹963.71 crore from ₹690.96 crore; net revenue reached ₹796.98 crore and PAT ₹14.02 crore, supported by 16% same-store sales growth.

• COVID-19 lockdowns shut showrooms from 24 March 2020, disrupting demand and supply chains; management prioritized employee and customer safety, cost reduction, inventory liquidation and liquidity.

Financial highlights

• Gross revenue ₹963.71 crore vs ₹690.96 crore; net revenue ₹796.98 crore vs ₹563.65 crore, with reported YoY growth of 39% and 42%, respectively.

• EBITDA ₹34.33 crore vs ₹17.41 crore, up 97%; EBITDA margin increased to 4.30% from 3.08%.

• PAT ₹14.02 crore vs ₹5.76 crore, up 143%; EPS ₹9.94 vs ₹4.09.

• Total income ₹806.10 crore vs ₹564.05 crore; finance costs rose to ₹13.59 crore from ₹7.22 crore.

Outlook and guidance

• Five showrooms had opened in FY21 by the report date, bringing the network to 48; plans called for 15 additional stores, targeting 63 across Bihar.

• Targeted presence across all Bihar district headquarters by FY22; expansion into other states was under consideration.

• FY21 Q1 sales faced adverse effects from prolonged closures, restricted operating hours and low customer footfalls; discretionary purchases were being deferred, with some resilience in televisions.