Latest news with #VedantFashions
Time of India
29-05-2025
- Business
- Time of India
JM Financial initiates coverage on Vedant Fashions with a Buy, target price Rs 930
JM Financial has initiated coverage on Vedant Fashions with a buy call at a target price of Rs 930. The current market price of Vedant Fashions is Rs 760.95. The time period given by the analyst is a year when Vedant Fashions price can reach the defined target. Vedant Fashions, incorporated in 2002, is a Small Cap company with a market cap of Rs 18549.99 crore, operating in the Apparels sector. Vedant Fashions' key products/revenue segments include Income from Retailing, Other Operating Revenue, Export Incentives and Scrap for the year ending 31-Mar-2024. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Has Honda Done It Again? The New Honda CR-V is Finally Here. TheFactualist Undo Financials For the quarter ended 31-12-2024, the company has reported a Consolidated Total Income of Rs 533.67 crore, up 85.83% from last quarter Total Income of Rs 287.19 crore and up 8.93% from last year same quarter Total Income of Rs 489.92 crore. The company has reported net profit after tax of Rs 157.98 crore in the latest quarter. The company's top management includes Modi, Modi, Sharma, Mahendra Choksi, Puri, Mitra. Company has S R Batliboi & Co. LLP as its auditors. As on 31-03-2025, the company has a total of 24 crore shares outstanding. Live Events Investment Rationale JM Financial initiated coverage on Vedant Fashion with a BUY rating and target price Rs 930, valuing the company at ~45x EPS (pre Ind AS 116) Mar-27, this is ~20-30% discount to their valuation multiples for the likes of Metro, Titan and Avenue Supermarts. At the CMP, VFL is trading at ~35x FY27 EPS and offers ~27% upside from the current levels. VFL?s robust business model allows it to generate strong EBITDA/PAT margins of ~35% and ~30%, with an average OCF/EBITDA and FCFF/PAT conversion of ~65% and ~80% during FY19-24 and revenue/PAT CAGR of ~11%/17% over this period. VFL is now trading at sharp discount of 20-50% to the like of Metro, Titan and Avenue Supermarts despite exhibiting similar kind of return ratios or slightly lower revenue/PAT growth over FY25-28. The brokerage expects revenue/EBITDA/PAT (Pre Ind AS 116) CAGR of 12% over FY25-28E led by 10% area CAGR and 3% sales per sq ft CAGR. They expect the company to generate robust RoE/RoCE/RoIC of 23%/ 27%/52% by FY28. A gradual pickup in the revenue growth is a factor of increasing competition in the W&C wear space and slowdown in the operating environment which JM Financial believes is temporary. They believe that revival in the performance of the company and increase of revenue CAGR to ~15% or more and along with higher EBITDA and PAT CAGR will lead to further re-rating in the valuation multiples in line with its historical multiples. Promoter/FII Holdings Promoters held 74.95 per cent stake in the company as of 31-Mar-2025, while FIIs owned 10.14 per cent, DIIs 10.59 per cent.
Economic Times
29-05-2025
- Business
- Economic Times
JM Financial initiates coverage on Vedant Fashions with a Buy, target price Rs 930
JM Financial has initiated coverage on Vedant Fashions with a buy call at a target price of Rs 930. The current market price of Vedant Fashions is Rs 760.95. The time period given by the analyst is a year when Vedant Fashions price can reach the defined target. Vedant Fashions, incorporated in 2002, is a Small Cap company with a market cap of Rs 18549.99 crore, operating in the Apparels sector. ADVERTISEMENT Vedant Fashions' key products/revenue segments include Income from Retailing, Other Operating Revenue, Export Incentives and Scrap for the year ending 31-Mar-2024. Financials For the quarter ended 31-12-2024, the company has reported a Consolidated Total Income of Rs 533.67 crore, up 85.83% from last quarter Total Income of Rs 287.19 crore and up 8.93% from last year same quarter Total Income of Rs 489.92 crore. The company has reported net profit after tax of Rs 157.98 crore in the latest quarter. The company's top management includes Modi, Modi, Sharma, Mahendra Choksi, Puri, Mitra. Company has S R Batliboi & Co. LLP as its auditors. As on 31-03-2025, the company has a total of 24 crore shares outstanding. ADVERTISEMENT Investment RationaleJM Financial initiated coverage on Vedant Fashion with a BUY rating and target price Rs 930, valuing the company at ~45x EPS (pre Ind AS 116) Mar-27, this is ~20-30% discount to their valuation multiples for the likes of Metro, Titan and Avenue Supermarts. At the CMP, VFL is trading at ~35x FY27 EPS and offers ~27% upside from the current levels. VFL?s robust business model allows it to generate strong EBITDA/PAT margins of ~35% and ~30%, with an average OCF/EBITDA and FCFF/PAT conversion of ~65% and ~80% during FY19-24 and revenue/PAT CAGR of ~11%/17% over this period. VFL is now trading at sharp discount of 20-50% to the like of Metro, Titan and Avenue Supermarts despite exhibiting similar kind of return ratios or slightly lower revenue/PAT growth over FY25-28. The brokerage expects revenue/EBITDA/PAT (Pre Ind AS 116) CAGR of 12% over FY25-28E led by 10% area CAGR and 3% sales per sq ft CAGR. They expect the company to generate robust RoE/RoCE/RoIC of 23%/ 27%/52% by FY28. A gradual pickup in the revenue growth is a factor of increasing competition in the W&C wear space and slowdown in the operating environment which JM Financial believes is temporary. They believe that revival in the performance of the company and increase of revenue CAGR to ~15% or more and along with higher EBITDA and PAT CAGR will lead to further re-rating in the valuation multiples in line with its historical multiples. Promoter/FII Holdings Promoters held 74.95 per cent stake in the company as of 31-Mar-2025, while FIIs owned 10.14 per cent, DIIs 10.59 per cent. (You can now subscribe to our ETMarkets WhatsApp channel) Disclaimer: Views and recommendations given in this section are the analysts' own and do not represent those of Please consult your financial adviser before taking any position in the stock/s mentioned.
Time of India
17-05-2025
- Business
- Time of India
Sales slump for Manyavar & Mohey's parent Vedant Fashions
Mumbai: Fewer wedding dates, subdued consumer sentiments and increased competition from newer players wiped off nearly $2 billion from Vedant Fashions ' market capitalisation over the past five months. The company behind Manyavar and Mohey said competition in India's ethnic segment is at a level never seen before and is not sustainable with the number of stores trebling over the past two-three years. The biggest ethnic wear brand posted 2% revenue growth last fiscal, while same store sales growth fell 4% in FY25 as well as the quarter ended March. "We have certainly witnessed competition in the last two decades of us operating this brand. Nothing at these levels, for sure. We have not seen these many stores ever opening up, because it has all happened in a very short period, the last two to three years. Earlier as well, when there was competition, there were a few stores here and there, but nothing at this scale," said Vedant Modi, chief revenue officer at Vedant Fashions, at its earnings call. The market for occasion wear was historically serviced more by local shops or made-to-order ones, but over the past decade brands such as Manyavar, Mohanlal and more recently Tasva and Ethnix by Raymond entered the segment. "Typically, what we have noticed is people open up a single store in a city and do decently well. And as they sort of scale up to a state level, to a region level, that's when things start to go south. This industry must understand the hack of understanding consumer preferences and understanding data at a very deep pin code level, because what works in one part of the city does not work in the other part of the city," said Modi. According to management consulting firm Wazir Advisors, the apparel and accessories market in India was estimated at $75 billion in FY23, and the total ethnic wear market represented nearly 30% at $22 billion. Within that, the ethnic menswear market was estimated at $2 billion in FY23, just 10% of the total ethnic wear market, indicating the potential upside. Of the total ethnic wear market, wedding and celebration wear accounts for 58% and men's contribution is 12% of the segment. Hence, wedding and occasion wear dominates the men's ethnic dress collection and is relatively high on branded quotient. Historically, the celebration wear category is the least impacted by slowdowns as Indians like to celebrate weddings, festivals and other occasions as lifetime events. But Vedant Fashions has had a tough year thus far, which it blamed on minimal wedding dates and weak performance, especially in Andhra Pradesh and Telangana, where the company has higher presence compared to peers. "If I give you an example of a city like Raipur, we used to have one exclusive brand outlet which we operate. And maybe another 25, 30 stores would have opened in that market. And if we look at the financial data of all these numbers of stores opening, hardly any of them are at a mark where business is sustainable even in the mid-term. So, certainly there is a lot of macroeconomic pressure which we have seen," Modi added. Analysts said Vedant's fourth quarter performance was underwhelming on revenue delivery despite low base and wedding season tailwinds.
Economic Times
17-05-2025
- Business
- Economic Times
Sales slump for Manyavar & Mohey's parent Vedant Fashions
Representational Mumbai: Fewer wedding dates, subdued consumer sentiments and increased competition from newer players wiped off nearly $2 billion from Vedant Fashions' market capitalisation over the past five months. The company behind Manyavar and Mohey said competition in India's ethnic segment is at a level never seen before and is not sustainable with the number of stores trebling over the past two-three years. The biggest ethnic wear brand posted 2% revenue growth last fiscal, while same store sales growth fell 4% in FY25 as well as the quarter ended March. "We have certainly witnessed competition in the last two decades of us operating this brand. Nothing at these levels, for sure. We have not seen these many stores ever opening up, because it has all happened in a very short period, the last two to three years. Earlier as well, when there was competition, there were a few stores here and there, but nothing at this scale," said Vedant Modi, chief revenue officer at Vedant Fashions, at its earnings call. The market for occasion wear was historically serviced more by local shops or made-to-order ones, but over the past decade brands such as Manyavar, Mohanlal and more recently Tasva and Ethnix by Raymond entered the segment. "Typically, what we have noticed is people open up a single store in a city and do decently well. And as they sort of scale up to a state level, to a region level, that's when things start to go south. This industry must understand the hack of understanding consumer preferences and understanding data at a very deep pin code level, because what works in one part of the city does not work in the other part of the city," said Modi. According to management consulting firm Wazir Advisors, the apparel and accessories market in India was estimated at $75 billion in FY23, and the total ethnic wear market represented nearly 30% at $22 billion. Within that, the ethnic menswear market was estimated at $2 billion in FY23, just 10% of the total ethnic wear market, indicating the potential upside. Of the total ethnic wear market, wedding and celebration wear accounts for 58% and men's contribution is 12% of the segment. Hence, wedding and occasion wear dominates the men's ethnic dress collection and is relatively high on branded the celebration wear category is the least impacted by slowdowns as Indians like to celebrate weddings, festivals and other occasions as lifetime events. But Vedant Fashions has had a tough year thus far, which it blamed on minimal wedding dates and weak performance, especially in Andhra Pradesh and Telangana, where the company has higher presence compared to peers."If I give you an example of a city like Raipur, we used to have one exclusive brand outlet which we operate. And maybe another 25, 30 stores would have opened in that market. And if we look at the financial data of all these numbers of stores opening, hardly any of them are at a mark where business is sustainable even in the mid-term. So, certainly there is a lot of macroeconomic pressure which we have seen," Modi said Vedant's fourth quarter performance was underwhelming on revenue delivery despite low base and wedding season tailwinds.
Fashion Network
15-05-2025
- Business
- Fashion Network
Vedant Fashions Ltd Q4 net profit declines 13 percent to Rs 101 crore
Vedant Fashions Ltd, the owner of ethnic wear brand Manyavar reported a 13 percent decline in net profit to Rs 101 crore ($11.9 million) for the fourth quarter ended March 31, as against Rs 116 crore in the year-ago quarter. The company's revenue for the quarter was up marginally by 1 percent to Rs 367 crore, as against Rs 363 crore in the corresponding quarter of the previous fiscal year. On a full-year basis, the company's net profit declined 6 percent to Rs 388 crore on a 1 percent increase in revenue to Rs 1,386.48 crore in FY25 over FY24. 'The company's performance in FY25 was impacted by subdued consumer sentiment and severely impacted Q1 FY25 with extremely low/negligible wedding dates nationally. However, in the nine months period from July to March FY25, retail sales grew by 9.3%, with like-to-like sales growing by 2.9%,' Vedant Fashions said in its investor presentation. 'Despite these challenges, the company successfully maintained strong financial margins and profitability metrics, reflecting resilient business fundamentals,' it added. Vedant Fashions is engaged in manufacturing and retailing of readymade ethnic wear for men, women and kids under the brand names Manyavar, Mohey, Mebaz, Twamev, and Manthan.
