Financial Performance Highlights

Q2 FY27 Performance (Consolidated)

  • Revenue from Operations: ₹730 crore, up 12.2% YoY from ₹651 crore in Q2 FY26
  • EBITDA: ₹198 crore, up 15.8% YoY from ₹171 crore in Q2 FY26
  • EBITDA Margin: 27.1% vs 26.2% in Q2 FY26
  • PAT: ₹77 crore, up 12.0% YoY from ₹69 crore in Q2 FY26
  • PAT Margin: 10.6% (consistent with Q2 FY26)
  • Pre IndAS116 PAT%: 11.9% vs 12.7% in Q2 FY26

H1 FY27 Performance (Consolidated)

  • Revenue from Operations: ₹1,451 crore, up 13.4% YoY from ₹1,279 crore in H1 FY26
  • EBITDA: ₹413 crore, up 12.9% YoY from ₹366 crore in H1 FY26
  • EBITDA Margin: 28.5% vs 28.6% in H1 FY26
  • PAT: ₹173 crore, up 2.8% YoY from ₹168 crore in H1 FY26
  • PAT Margin: 11.9% vs 13.1% in H1 FY26
  • Pre IndAS116 PAT%: 13.1% vs 14.7% in H1 FY26

Operational Highlights

  • Modest growth in Q2 due to shift in festive calendar with demand moving to Q3
  • 21 new stores opened in Q2 FY27, offset by 9 store closures
  • 34 new stores opened in H1 FY27, offset by 13 store closures
  • E-commerce sales (including omni-channel) grew 12% in Q2, contributing 14.2% of revenue
  • E-commerce sales grew 11% in H1, contributing 13.6% of revenue
  • PAT margins improved supported by gross margin expansion despite investments in talent and brand building
  • Minimum wage revisions impacted staff costs
  • 70% revenue contribution from in-house brands at MBOs

Store Network Details (as of September 2026)

The company operates across multiple formats with detailed segmentation:

| Format | Target Customer | Stores | Cities | Price Range (INR) | Size (sq.ft) |

| Metro MBO | Family | 379 | 186 | 2,000-10,000 | 1,650 |

| Mochi MBO | Youth | 291 | 140 | 2,000-10,000 | 1,600 |

| Walkway MBO | Premium | 239 | 104 | 2,500-7,500 | 650 |

| Value Format MBO | Value | 108 | 71 | 300-3,500 | 1,450 |

| Crocs EBO | Premium | 14 | 10 | 4,000-10,000 | 550 |

| Fitflop EBO | Premium | 4 | 4 | 2,000-12,000 | 900 |

| Foot Locker EBO | Premium | 7 | 4 | 6,000-19,000 | 6,000 |

| New Era EBO | Premium | 8 | 5 | 3,000-4,500 | 200 |

| Clarks EBO | Premium | 3 | 3 | 3,000-12,000 | 3,000 |

Total presence: 31 States & Union Territories

Brand Portfolio Updates

Clarks

  • Ladies' range now in 400+ MBOs, limited men's range in 100+ MBOs
  • Complete EBO product range supply expected by Q3 FY27
  • EBO launch expected in later half of FY27 post supply chain stabilization

Foot Locker & MetroActiv

  • BIS implementation challenges among select external brands impacted supply-chain readiness
  • Early signs of normalization emerging
  • Store expansion plans being calibrated accordingly

Fila

  • Started local manufacturing in India due to BIS concerns
  • Repositioning underway with sharper merchandise and pricing strategy
  • Transformation expected over next 12-18 months
  • Store expansion expected to accelerate from FY29 onwards

New Era

  • Shifting expansion strategy from kiosks to EBO-led model
  • Opened 2 EBOs and closed 4 kiosks during the quarter

Financial Statements Analysis

Consolidated Balance Sheet (as of September 30, 2026)

  • Total Assets: ₹4,151 crore (vs ₹4,015 crore as of March 31, 2026)
  • Property, plant and equipment: ₹450 crore
  • Right of use assets: ₹1,387 crore
  • Inventories: ₹957 crore (vs ₹856 crore)
  • Investments: ₹615 crore (vs ₹656 crore)
  • Cash and cash equivalents: ₹35 crore
  • Total Equity: ₹2,128 crore (Share capital: ₹136 crore, Other equity: ₹1,955 crore, Non-controlling interests: ₹37 crore)
  • Financial liabilities: ₹1,368 crore
  • Lease liabilities: ₹231 crore

Net Core Working Capital Days

  • As of September 30, 2026: 97 days (vs 86 days as of March 31, 2026 and 83 days as of September 30, 2025)
  • Closing Inventory: ₹957 crore
  • Closing Trade receivables: ₹119 crore
  • Closing Trade payables: ₹295 crore

Consolidated Cash Flow (H1 FY27)

  • Cash from Operating Activities: ₹248 crore
  • Cash from Investing Activities: ₹1 crore
  • Cash from Financing Activities: ₹(247) crore
  • Net increase in cash: ₹3 crore
  • Dividend payment including tax: ₹82 crore
  • Lease liability payments: ₹167 crore

Business Model Strengths

  • One of India's largest pan-India footwear retailers with 1,049+ stores
  • Omni-channel approach: Instore (85%), Online (10%), Omnichannel (4%), Others (1%)
  • Operates 8 brand websites and presence on major e-commerce marketplaces
  • Wide product range across men, women, kids footwear and accessories
  • Asset-light model with outsourced manufacturing
  • Long-standing vendor relationships (250+ vendors, 20+ years with some)
  • Exclusive partnerships with international brands (Crocs, FitFlop, Fila, Foot Locker, New Era, Clarks)

Management and Governance

  • Experienced board with 7 directors (excluding promoter directors)
  • Strong promoter background with Rafique A. Malik (Chairman, 50+ years experience)
  • Experienced management team including Nissan Joseph (CEO), Kaushal Parekh (CFO), Mohit Dhanjal (COO)

Growth Strategy

  • Target to open sustainable and profitable stores across all formats
  • Unleash growth opportunities in Sports & Athleisure segment through brand partnerships
  • Evaluation based on targeted returns, operational scale and diversification criteria

Sustainability Initiatives

  • Processed ~4,892 tons (~12.5 million pairs) of old & discarded footwear in FY26 through eco-friendly methods
  • Education/skilling programs for 400+ unemployed youth
  • Health screening for ~1,000 cobblers and vulnerable communities
  • Planting 25,000 fruit-bearing trees and rejuvenating 6 water harvesting structures in Gujarat