Vaibhav Global (VAIBHAVGBL) Q4 20/21 earnings summary

Executive summary

• Record FY21 performance: retail revenue rose 31.1% to ₹2,515 cr and free cash flow increased 52% to ₹268 cr amid pandemic disruption.

• Omni-channel reach, value pricing, product diversification and a multi-country supply network supported growth across the US and UK.

Financial highlights

• Consolidated revenue from operations grew 27.9% to ₹2,540 cr; EBITDA rose 40.4% to ₹387.9 cr and PAT increased 43% to ₹271.8 cr.

• EBITDA margin expanded to 15.3% from 13.9%; PAT margin improved 110 bps to 10.7%. Operating cash flow was ₹324 cr and free cash flow ₹268 cr.

• Cash and cash equivalents stood at ₹468 cr at 31 Mar 2021; consolidated B2C generated 99% of revenue.

Outlook and guidance

• FY22 priorities: launch Shop LC GmbH in Germany in Q2, strengthen share in existing markets, and expand textile manufacturing and apparel offerings.

• Germany launch capex planned at US$2m; digital-first testing began in Q1 FY22, with TV and e-commerce operations expected to follow in Q2.

• Continued investment planned in automation, AI, data analytics, customer service, retail platforms, marketing and supply-chain capabilities.