Mumbai, 16th January 2024 – Credo Brands Marketing Limited (MUFTI), one of the prominent players in the
men’s casual wear providing a meaningful wardrobe solution for multiple occasions in a customer’s life, with
product offerings ranging from shirts to t-shirts to jeans to chinos, which caters to all year-round clothing has
announced its Unaudited Financial Results for the Quarter and Half Year ended 30th September 2023.
Gross Profit EBITDA Profit After Tax
(PAT)
KEY FINANCIAL HIGHLIGHTS
Particulars (in Rs. Crs.) Q2 FY24 Q2 FY23 Y-o-Y H1 FY24 H1 FY23 Y-o-Y
Total Revenue 165.6 142.7 16% 284.1 234.9 21%
Gross Profit 95.3 81.9 16% 161.8 136.4 19%
Gross Profit Margin (%) 57.5% 57.4% 57.0% 58.1%
EBITDA 56.8 51.2 11% 87.1 80.3 8%
EBITDA Margin (%) 34.3% 35.9% 30.6% 34.2%
Profit before Tax 37.0 34.9 6% 48.3 48.7 -1%
PAT 28.0 26.0 8% 36.5 36.5 0%
PAT Margin (%) 16.9% 18.2% 12.9% 15.5%
Robust Q2 & H1 FY24 Financial & Business Performance
Rs. 95.3 crores Rs. 56.8 crores Rs. 28.0 crores
For Q2 FY24
16% 16% 11% 8%
On Consolidated Basis
KEY BUSINESS UPDATES
• No. of EBOs added during H1 FY24 are 31 Stores on a Net Basis
• Total EBOs as on 30th September 2023 stood at 404 stores
• Sales Mix for H1 FY24
• EBO : 52.5%; MBO : 25.0%; LFS : 3.3%; Online : 16.3%; Others : 2.9%
• Product Mix for H1 FY24
• Shirts : 42.1%; T-shirts : 13.5%; Bottomwear : 40.8%; Outerwear : 1.0%; Others : 2.6%
Investor Release
Credo Brands Marketing Limited
2
Commenting on the Result, Mr. Kamal Khushlani, Chairman & MD, Credo Brands Marketing Limited said
“We at Mufti thank the investor community for the tremendous support shown during the IPO. Public Listing
is a proud moment for of us and this will provide a healthy visibility to the brand.
Over the recent months, the retail sector experienced a slowdown owing to subdued consumer demand.
Despite facing these external challenges, the company has successfully sustained its growth momentum.
Moreover, some demand typically linked with the festive season has been deferred to the third quarter of
this year, leading to a comparatively lower growth for Q2 & H1 FY24.
During H1 FY24, Revenues grew by 21% Y-o-Y to Rs. 284 crores with Gross Margins at 57.0%. Our EBITDA and
PAT for H1 FY24 stood at Rs. 87 Crores and Rs. 37 crores respectively.
We believe in providing a meaningful wardrobe solution for multiple occasions in a customer’s life, with our
product offerings ranging from shirts to t-shirts to jeans to chinos, which caters to all year-round clothing. The
brand was created as an alternative dressing solution and was designed to deliver a casual alternative with a
focus on creative, bold, and expressive clothing for the contemporary Indian man who wanted something
more stylish than what was commonly available. Our products are designed to provide a youthful appearance
while keeping up with the ongoing fashion trends. Our design team is constantly focusing on expanding our
product range to meet a varied range of consumer needs.
In order to adapt to an ever-changing retail landscape, we conducted an internal assessment in 2019 and put
the learnings to reinvent the brand philosophy. As part of this brand reinvention, we developed, 1) a new
Brand Identity; 2) a new merchandise architecture for increasing our share of customer’s wallet by providing
designs suited for specific occasions in our customer’s life ranging from relaxed holiday casuals, authentic
daily casuals to urban casuals, party wear and also athleisure; 3) a new Retail Identity.
Since we made the above changes, the brand has gained in salience and the same is reflected in the
performance of the Company.
We intend to continue increasing our presence by setting up new Points of sale and expanding our EBO
network in existing as well as additional cities and regions across India. We expect emerging demand from
existing and new cities will help fuel our growth.
Mufti has been able to build a resonance with consumers through multiple marketing, advertising and
customer engagement initiatives. We intend to continue enhancing the brand recall of our products through
the expansion of our EBOs footprint as well as the use of targeted marketing initiatives.
”
• Same Store Sales Growth (SSSG) for EBOs de-grew by 4.7% for Q2 FY24 as compared to Q2 FY23 and was
flat on a half yearly basis compared to the first half last year.
• Working Capital Days as on 30th September 2023 stands at 177 days.
• Cash Flow from Operations (OCF) for H1 FY24 stood at Rs.
-5.4 crores as compared to -Rs. 24.7 crore for
H1 FY23
• RoCE stood at 38.4%; RoE stood at 26.2% for H1 FY24 (On annualized basis)
Investor Release
Credo Brands Marketing Limited
3
Safe Harbor
Statements in this document relating to future status, events, or circumstances, including but not limited to statements about plans
and objectives, the progress and results of research and development, potential project characteristics, project potential and target
dates for project related issues are forward-looking statements based on estimates and the anticipated effects of future events on
current and developing circumstances. Such statements are subject to numerous risks and uncertainties and are not necessarily
predictive of future results. Actual results may differ materially from those anticipated in the forward-looking statements. The
company assumes no obligation to update forward-looking statements to reflect actual results changed assumptions or other factors.
