Go Fashion (India) (GOCOLORS) Q2 24/25 earnings summary

Executive summary

• Achieved H1 FY25 revenue of INR 429 crores, up 13% YoY, and EBITDA of INR 136 crores, up 12% YoY, despite a challenging apparel retail environment.

• Maintains leadership in branded women's bottom-wear with ~8% market share and a pan-India presence across 755 EBOs and 2,387 LFSs.

• Focused on expanding EBO network, leveraging technology, and strengthening omni-channel sales.

• Unaudited financial results for the quarter and six months ended September 30, 2024, were approved and reviewed by the Board and statutory auditors.

• The review concluded no material misstatements and compliance with Indian Accounting Standards and SEBI regulations.

Financial highlights

• Q2 FY25 revenue at INR 209 crores, up 10% YoY; gross profit at INR 132 crores, up 15% YoY, with a GP margin of 63.1%.

• H1 FY25 revenue grew 13% YoY to INR 429 crores; PAT increased 6% YoY to INR 49.3 crores.

• EBITDA margin at 30.5% in Q2 FY25 and 31.7% in H1 FY25; EPS for H1 FY25 at ₹9.13.

• Cash and cash equivalents at INR 238 crores as of September 2024, including mutual funds and FDs.

• Net cash from operating activities for H1 FY25 was ₹114.1 crore.

Outlook and guidance

• Targeting 15%-20% revenue growth for the coming quarters, with low to mid single-digit SSG.

• Plans to add 120–150 gross and 100 net stores in FY25, focusing on Tier 2 and Tier 3 cities.

• Expecting H2 to outperform H1, supported by festive season, improving consumer sentiment, and urban mobility.

• Aims to strengthen online and omni-channel engagement, investing in digital and IT infrastructure.

• Inventory days expected to remain in the 90-95 day range by March 2024.