Financial Performance Overview

Shoppers Stop Limited reported its financial results for the first quarter ended June 30, 2026 (Q1 FY27), demonstrating a strong turnaround in profitability.

Consolidated Performance (Non-GAAP):

  • Revenue: Rs 1,536 Crore, representing a 10% year-over-year (YoY) growth from Rs 1,401 Crore in Q1 FY26.
  • EBITDA: Rs 43 Crore, a significant 40% increase from Rs 31 Crore in the same quarter last year.
  • Profit After Tax (PAT): Rs 5 Crore, a remarkable turnaround from a loss of Rs 4 Crore in Q1 FY26, marking a 228% improvement.

Consolidated Performance (GAAP):

  • Net Revenue: Rs 1,291 Crore, up 11% from Rs 1,161 Crore in Q1 FY26.
  • EBITDA: Rs 193 Crore, a 6% increase from Rs 182 Crore.
  • PAT: Loss of Rs 14 Crore, an improvement of 12% from a loss of Rs 16 Crore.

Standalone Performance (Non-GAAP):

  • Revenue: Rs 1,427 Crore, up 7% from Rs 1,336 Crore.
  • EBITDA: Rs 37 Crore, up 45% from Rs 26 Crore.
  • PAT: Rs 3 Crore, a turnaround from a loss of Rs 7 Crore.

Standalone Performance (GAAP):

  • Net Revenue: Rs 1,185 Crore, up 8% from Rs 1,094 Crore.
  • EBITDA: Rs 185 Crore, up 5% from Rs 176 Crore.
  • PAT: Loss of Rs 17 Crore, improved from a loss of Rs 18 Crore.

Segment-wise Performance

Department Stores:

  • Revenue reached Rs 1,242 Crore.
  • Achieved a healthy Like-for-Like (LFL) growth of 6%.
  • Customer entry grew by 3% LFL, marking the fifth consecutive quarter of growth.
  • Average Transaction Value (ATV) increased by 10%.

Beauty Segment:

  • Sales were Rs 327 Crore, a strong 15% increase YoY.
  • Performance was led by the fragrance category, which grew 34% YoY.
  • The segment conducted over 192,000 makeovers and 400+ masterclasses to drive engagement.

INTUNE (Value Fashion Format):

  • Sales were Rs 82 Crore, up 21% YoY.
  • Achieved a strong LFL growth of 10%, indicating a trend reversal after four quarters.
  • A new price point of Rs 1,299 introduced in the previous quarter showed an encouraging response.

GSSBB (Beauty Distribution):

  • Sales were Rs 129 Crore, recording robust growth of 53% YoY, making it the highest ever quarter for this segment.

Operational and Strategic Highlights

Premiumization Strategy:

  • The premium portfolio contributed 72% of sales.
  • Sales from the premium portfolio grew 15% (LFL +13%).

First Citizen Loyalty Program:

  • The member base expanded to 13.8 million.
  • Achieved its highest ever sales contribution mix of 85% in a quarter.
  • Recorded 39,000 Premium Black Card enrolments (+26% YoY) and 202,000 Silver Card additions during the quarter.
  • The Black Card segment contributed 23% of total sales.
  • Launched a new MAC exclusive Loyalty program under First Citizen.

Private Brands:

  • Delivered steady performance with 20% growth in Average Selling Price (ASP) driven by portfolio premiumization.
  • Inventory reduced by 12% YoY.
  • "FRATINI Girl," a premium apparel line for young girls, outperformed the kids category.
  • A premium range was launched in "Bandeya" across 25 stores.
  • 12 new SKUs were launched in Q1, bringing the total to 710 SKUs across categories.

Store Expansion & Capex:

  • Opened 8 new stores: 2 Department, 4 Beauty (including 1 SSBeauty, 1 MAC standalone, and 2 MAC SIS), and 2 INTUNE.
  • Capital investment during the quarter was Rs 44 Crore.
  • An additional investment of Rs 20 Crore was made in GSSBB.
  • Total store network as of June 2026 stands at 288 stores across formats, occupying 4.5 million square feet.

Inventory and Working Capital Management:

  • Inventory reduced by Rs 80 Crore YoY and by Rs 36 Crore compared to March 2026.
  • INTUNE specifically reduced inventory by Rs 34 Crore YoY.

Debt Reduction:

  • Debt was reduced by Rs 93 Crore compared to June 2025, besides a Rs 50 Crore capital infusion in GSSBB YoY.
  • Standalone loan funds stood at Rs 166 Crore as of June 2026, down from Rs 260 Crore a year ago.

Marketing Initiatives:

  • Campaigns included "India Weds with Shoppers Stop," "The Travel Edit," "Get Spotlight Ready" in collaboration with HYBE India, and "Beauty and Accessories fest."
  • "The Travel Edit" campaign (Apr-May 2026) drove a 21% YoY growth in the travel category with a 7X ROI.
  • The "India Weds" campaign (May-Jun 2026) generated Rs 175 Crore in sales and saw beauty grow by 14%.
  • The HYBE India collaboration led to the sale of 6,000+ BTS Arirang albums and gained 195,000 YouTube subscribers.

Balance Sheet and Cash Flow (Standalone Non-GAAP)

Balance Sheet (as of June 2026):

  • Net Worth: Rs 809 Crore
  • Loan Funds: Rs 166 Crore
  • Total Liabilities: Rs 975 Crore
  • Fixed Assets + Lease Deposit: Rs 881 Crore
  • Investments (in Subsidiary): Rs 130 Crore
  • Inventory: Rs 1,878 Crore (Outright Inventory reduced by Rs 80 Cr YoY)
  • Total Current Assets: Rs 2,364 Crore
  • Total Current Liability: Rs 2,528 Crore
  • Net Current Assets: -Rs 163 Crore

Cash Flow (Q1 FY27):

  • Cash Profit from Operations (EBITDA): Rs 37 Crore
  • Changes in Working Capital: Rs 10 Crore
  • Cash generated from Operations: Rs 48 Crore
  • Fixed Assets Capex: -Rs 44 Crore
  • Investment in Subsidiary: -Rs 20 Crore
  • Interest Expense: -Rs 4 Crore
  • Loan Repayment: Rs 13 Crore

Management Commentary

Mr. Kavindra Mishra, MD and CEO, stated that the strong start to FY27 is a testament to the company's premiumization strategy. He highlighted sustained demand, improved supply chain visibility, and confidence ahead of the festive season. The management remains committed to inventory discipline, operational rigor, prudent capital deployment, and the goal of becoming debt-free by FY27.

Forward Outlook

The company cites a positive market outlook supported by premiumization, personalization, and improving demand trends. It references a JLL report indicating 46 million sq. ft. of future retail real estate supply by 2030, strengthening India's retail outlook. The company's strategy focuses on strengthening its aspirational positioning and expanding in key markets.