Key Financial Figures (FY26)

  • Total revenue from operations: ₹134.63 crore
  • EBITDA: ₹24 crore
  • EBITDA margin: 17.8%
  • Net profit: ₹11.17 crore (24% year-over-year growth)
  • Cash and cash equivalents: Approximately ₹30 crore post-IPO
  • IPO proceeds allocated for expansion: ₹46 crore

Operational Highlights

  • Store network: 124 active Exclusive Brand Outlets (EBOs) across 70+ cities as of May 2026
  • Same-store sales growth: 12.89%
  • Customer base: Over 5.5 lakh customers
  • Average selling price (ASP): ₹2,000 to ₹2,500 range
  • Repeat customer rate: 21-30%

Strategic Expansion Plans

  • Target to expand to 250 stores by 2028 (current: 124 stores)
  • Immediate plan to open 66 new stores in next two years using IPO proceeds
  • Store formats: COCO (Company Owned Company Operated) and FOFO (Franchise Owned Franchise Operated)
  • Average store size: 700-1000 sq ft currently, moving to 1200-1500 sq ft for select stores
  • Global expansion planned for FY27-28 in locations including Dubai, London, and Canada

New Business Segments

  • Kiaasa Divas: Kids' ethnic wear segment (3-13 years age group)
  • Target contribution: 8-10% of revenue
  • Successfully tested in 25-26 stores during festive season
  • DIY Studio: Custom ethnic wear boutique concept
  • Target contribution: 4-5% initially, growing to 10-12% in coming years
  • Focus on service-oriented experience rather than tailoring business

Margin Improvement Drivers

EBITDA margin expansion of approximately 400 basis points attributed to:

  • Improved sourcing efficiencies
  • Better vendor negotiations through bulk procurement
  • Enhanced operational cost control
  • Dynamic inventory cascade mechanism across store stratifications

Omni-Channel Strategy

  • Online platform: Kiaasaretail.com
  • Delivery partnership with Porter for 4-5 km radius (2-hour delivery)
  • Intercity delivery through courier partners (2-3 days delivery)
  • Online contribution: Currently 1-2% of revenue, expected to grow to 10-12%

Multi-Brand Outlet (MBO) Strategy

  • Planning entry into MBO and large format stores in FY27
  • In discussions with Reliance for 150 counters
  • Margin profile: MBOs take 28-32% margin
  • Primary objective: Brand awareness and marketing rather than PAT contribution

Nine99 Factory Outlet Format

  • Clearance format for inventory liquidation
  • Sells Kiaasa items below ₹999
  • Current footprint: 7-10 stores
  • Located in smaller cities/towns with lower rentals and operational costs
  • Serves as market testing tool for potential Kiaasa brand expansion

Manufacturing and Supply Chain

  • Dedicated contract manufacturing units
  • Company handles sampling and design internally
  • Volume-based pricing advantages
  • Supplier profiling based on quality and performance metrics

Long-Term Guidance (Through FY30)

  • Revenue CAGR target: 35%
  • EBITDA CAGR target: 45%
  • Growth drivers: Store expansion, online growth, MBO counters (600-1000 targeted by 2030)

Capital Allocation

  • ₹46 crore IPO proceeds allocated for store expansion
  • Capex per store: Approximately ₹24-25 lakh (varies by location and format)
  • Funding covers both Capex and inventory requirements

Conference Call Participants

  • Management: Mr. Om Prakash (Chairman and Managing Director)
  • Analysts: Representatives from Alphane Investments, Robo Capital, Waterstone Capital, and individual investors
  • Moderated by Confideleap Partners