High Street Essentials steadies losses despite slow growth in fiscal 2023
Despite experiencing a period of slow growth in fiscal ending March 2023, High Street Essentials, the parent company behind brands such as ‘FabAlley’ and ‘Indya,' managed to keep its losses steady.
Annual financial statements filed with the Registrar of Companies show, the revenue of High Street Essentials from operations increased by 17.8 per cent to reach Rs 185 crore in FY23 from Rs 157 crore in FY22.
Apparel sales constituted 77 per cent of its total operating revenue, amounting to Rs 142 crore in FY23. The remaining income came from agency commission, which saw a significant increase of 38.7 per cent to Rs 43 crore in the same fiscal year.
The cost of material procurement for the fashion brand increased by 6.8 per cent to account for 27 per cent of overall expenditure, totaling Rs 63 crore in FY23. Cost of advertising and selling grew by 30.8 per cent to Rs 235 crore during FY23 from Rs 206 crore in FY22.
Despite maintaining a flat scale and cost, High Street Essentials reported consistent losses of Rs 45 crore in FY23. Its Return on Capital Employed (ROCE) stood at -247 per cent, with an EBITDA margin of -14.2 per cent. On a unit level, the company spent Rs 1.27 to earn a rupee in FY23.
Established in 2012 by Shivani Poddar and Tanvi Malik, High Street Essentials focuses on two women-centric brands: Indya, which specialises in ethnic clothing and accessories, and FabAlley, catering to Western apparel and loungewear.
The company boasts a presence of over 30 stores nationwide.
