Shoppers Stop posts Rs 5.6 cr cons loss in Q2

Department store operator Shoppers Stop reported a consolidated loss of Rs 5.6 crore in the second quarter, compared with a profit of Rs 10.23 crore in the year ago quarter, due to a rise in operating expenses and finance costs.

Its net sales were up 14 percent from a year ago to Rs 848 crore in July-September.

Apart from department stores, Shoppers Stop also owns the hypermarket chain HyperCity and bookstore chain Crosswords among others.

In the second quarter, Shoppers Stop's operating expenses were up 20 percent to Rs 254 crore and finance charges were up 35 percent to Rs 13 crore.

Its EBITDA margin declined to 2.5 percent from 4.5 percent a year ago.

On a standalone basis, the company reported a net profit of Rs 6.4 crore, down 67 percent year-on-year in July-Sep. Its standalone sales for the quarter were up 16 percent at Rs 626 crore.

Same-store sales at Shoppers Stop department stores were up 5 percent in the quarter. Same-store or like-to-like sales measures sales at stores that are open for at least one year.

The company opened 2 Shoppers Stop outlets in the quarter, taking the total number of outlets to 54. It also opened 2 Mother Care shop-in-shops, 2 Crossword stores and 1 Home Stop outlet in the second quarter.

Shoppers Stop shares closed down 1.1 percent at Rs 419.60 on NSE on Tuesday.

Source: www.moneycontrol.com

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