Shoppers Stop leverages premiumization and beauty sourcing to drive operational recovery

Indian department store giant Shoppers Stop achieved a sharp financial turnaround in Q2 FY27, reporting a consolidated net profit after tax of Rs 6 crore compared to a loss of 7 crore in the prior year period. Non-GAAP consolidated revenue climbed 7% year-on-year to reach ₹1,618 crore, powered by strong demand for high-margin apparel and beauty categories. Despite a calendar shift moving peak festive buying into the third quarter, the retailer’s core department store format delivered Rs 1,302 crore in sales with a 7 per cent festive-adjusted like-for-like growth trajectory.

Category expansion and capital efficiency

Strategic focus on premium merchandise mixes and value fashion formats continues to enhance retail margins. The company’s beauty segment expanded 18 per cent Y=o-Y to Rs 367 crore, led by a 35 per cent increase in fragrance sales, while its beauty distribution arm rose by 59 per cent to Rs 168 crore. Concurrently, its value apparel chain, Intune, generated Rs 72 crore while reducing operating drag. Capital expenditures reached Rs 39 crore for the quarter across seven new store openings. Managing higher store expansion overheads and inventory velocity remain ongoing operational priorities as debt levels decreased by Rs 82 crore. Prudent capital allocation and expanding premium product portfolios across apparel and beauty remain central to sustained profitable scale, notes Kavindra Mishra, Customer Care Associate, Managing Director and CEO.

Eyeing debt-free status by Q3,FY27

Founded in 1991, Shoppers Stop operates 289 department, beauty, and value fashion stores across 75 Indian cities. Serving over 14 million First Citizen loyalty members across premium apparel and beauty categories, the retailer aims to become fully debt-free by Q3 FY27 through disciplined store rollouts.