India’s fastest growing retail company V2 Retail posted 82 per cent revenue decline to Rs 370 crore in its first quarter ended June 30, 2020. It had posted revenue worth Rs 2,023 crore in the same period previous fiscal. The company incurred a loss after tax Rs 89 crore during the quarter compared to profit after tax of Rs 114 crore in the corresponding quarter of previous fiscal
Ram Chandra Agarwal, Chairman and Managing Directors, attributes this loss to changing consumer sentiment from positive to cautious. According to him, a slowdown in the economy has badly impacted the retail sector with most people shifting consumption to only essential products.
The company’s gross profit for the quarter was Rs 110 crore. Its EBIDTA reported a loss of Rs 2 crore compared to earnings of Rs 276 crore. The company expects an uptick in consumer demand with the onset of festive season starting from Durga Puja and Diwali. It believes that its growth and profitability will continue to accelerate on the back of sustained focus on customer experience, merchandise selection, strong brand recall and our omnichannel presence.
