Relaxo Footwears Q1 Review - Lockdown Impacted Results; Revival Expected Going Ahead: Dolat Capital

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .Dolat Capital Report.Relaxo Footwears Ltd.'s revenue jumped 37% YoY to Rs 5.0 billion in Q1 FY22. We expected steady growth in revenue, however we feel that lockdown impact in northern and southern market was higher than our estimate.While gross margin expanded 450 basis points, decline in Ebitda margin to 13.3% in Q1 FY22, was due to high advertising and promotion expenses. We believe that the margins would improve sequentially with better operating leverage and cost efficiencies. In the long run, we believe that Relaxo Footwears would continue its strong performance by increasing penetration in south and west and is likely to benefit from premiumisation. .Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint. .Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Relaxo Footwears Q1 Review - Lockdown Impacted Results; Revival Expected Going Ahead: Dolat Capital

Relaxo Footwears Q1 Review - Lockdown Impacted Results; Revival Expected Going Ahead: Dolat Capital

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