Vaibhav Global (VAIBHAVGBL) Q4 18/19 earnings summary

Executive summary

• FY19 delivered 15% revenue growth to ₹1,814 cr, with retail revenue up 22%; PAT rose 37% to ₹154 cr.

• Growth was driven by higher retail volumes, expanding web sales, broader product ranges and investments in customer experience and fulfillment.

• Q4 FY19 net sales were ₹462 cr and net profit was ₹32 cr.

Financial highlights

• Revenue ₹1,814 cr, up 15% YoY; gross profit ₹1,133 cr, up 21%; EBITDA ₹217 cr, up 37%.

• PAT before exceptional items was ₹154 cr, up 37% YoY; net profit margin was 8.5%.

• Operating cash flow was ₹193 cr and free cash flow ₹170 cr for FY19.

• Retail volumes grew 14% with largely stable ASP of US$24.4; 9.8 mn pieces were sold through TV and web.

Outlook and guidance

• Management expected strong medium- to long-term growth, supported by customer focus, cost optimization, infrastructure and continued platform investment.

• Priorities include growing reach, registrations, repeat purchases and retention, while expanding lifestyle and accessory categories alongside jewellery.

• B2B sales were expected to reduce substantially as resources shift toward the expanding B2C business.

• ERP Microsoft Dynamics 365 was underway, with rollout planned for FY20.