Vedant Fashions Limited — Q1FY27 earnings call summary

Filed 27 July 2026 · Company audio recording

Gross margin steady at ~67%, supported by inventory and demand optimization.
Raw material (fabric) prices increased ~10%, but impact limited due to fabric being ~10% of product cost; future price trends uncertain.
Marketing spend guided at 5-6% of sales for FY23, leveraging digital efficiencies.
Internal aim for sustainable single-digit same-store sales growth post-COVID normalization.
COVID-19 disruptions impacted Q1 and Q4 FY22; pent-up demand partly realized in FY22 but some deferred to FY23.
ASP increased ~4.8% YoY in Q4 FY22, driven by category mix shift; no direct price hikes despite 10-12% fabric cost rise.
60% of revenue from stores where company bears rent; franchisees pay upfront security deposits covering inventory cost.
EBITDA margin stable at ~50% in FY22 and Q4.