Cantabil Retail India’s Net Profit Drops 7% In Q1FY25

Due to a lower wedding season demand and heat wave conditions specifically in north India impacting consumption, Cantabil Retail India, an apparel manufacturer and retailer, has witnessed a decline in the net profit in the first quarter of the current financial year. 

The profit after tax (Pat) of the company stood at Rs 11.4 crore in Q1FY25, registering over 7 per cent year-on-year (YoY) drop. The Pat in Q1FY24 was Rs 12.3 crore.

As per the quarterly results of the company, the revenue in Q1FY25 stood at Rs 127.9 crore, witnessing a 14.4 per cent YoY growth in the quarter as compared to the revenue of Rs 111.8 crore in the first quarter of FY24. The company’s earnings before interest, taxes, depreciation and amortisation (EBITDA) also reported a 14.5 per cent YoY increase. The EBITDA in Q1FY25 was Rs 39.4 crore as compared to Rs 34.4 crore in Q1FY24.

In an attempt to consolidate its position in the market, Cantabil Retail India opened 11 new exclusive stores (net) during the recently concluded quarter. The total store count now stands at 545 at the end of Q1FY25, the company stated in a statement.

The company expects the normal monsoon prediction and its progress to translate into an improvement in discretionary spending. It sees a strong demand rebound with the onset of festival season in Q3 followed by wedding and winter season.

Vijay Bansal, Chief Managing Director (CMD), Cantabil Retail India said, “FY 25 has started on a positive note with the Company delivering a double-digit volume growth of 18 per cent in total. Our strategic agenda of further expanding our reach with the aim of being ever more proximate and convenient to customers, reinforcing our brand promise, expansion into newer markets, diversification across various segments and categories, and ensuring an elevated shopping experience to our customers will help us to gain advantage of revival in consumer demand.”