Questions across 2 calls

Richard Liu

JM Financial

Aditya Birla Fashion and Retail Limited

Aditya Birla Fashion and Retail Limited CC-Sep23.pdf · 2023-11-10

Can you explain the gross margin movement a bit, please and I am talking about the standalone business here, so as to not get confused with the B2C piece, I see that your standalone margin is down by about 200 bps from 54% to some 52% and you seem to have attributed into Pantaloon with one of the slides, any perspective on how bad this is and is it a deliberate move to try and grow sales with this weak environment and also in that context it can give some color on how the core Madura brand margin have been moving in recent times?

Just moving on from there and I think you kind of alluded to part of this in one of the earlier questions, but I am just referring to the sales breakup of the Madura brands where EBOs have declined quite substantially while wholesale is kind of much better, I had thought that it would be the other way round, given the festive season delay, any color into this in terms of how much destocking, late stocking or what kind of a picture is if this kind of behavior due to?

Godrej Consumer Products Limited

Godrej Consumer Products Limited CC-Sep23.pdf · 2023-11-01

Okay. Sudhir, just one question. Not really asking for guidance, but come to think of it, if you look at your margins now at around the 20% level. If I look at last year, which is FY '23, H1 versus H2, the margin pictures, obviously, were very, very different. And the full margin recovery has somewhat happened at least at the operating margin level by the time we came to H2 FY '23. So, FY '23 margin was already 20.5%. Your run rate currently is at 20%. Now, if your top line growth doesn't pick up and given that there is all these headwinds that you still talked about, are we looking at a situation where your earnings growth, EBITDA growth could fall from the mid-20s to, let's say, single digits, if your top line doesn't pick up?

I understood about the seasonality on margins, but is there a chance that the top line picture in terms of growth will look very different in H2 versus what we are seeing right now because if you look at the Africa impact, if you look at the Soaps price offs, those numbers are still going to be better in Q3 and in part of Q4 as well, right?