22 August 2024, Mumbai
Amid positive indicators for the economy such as slowing inflation and progress of the southwest monsoon, inner wear sales are also expected to revive, affirm leading companies such as Page Industries, Aditya Birla Fashion and Retail (ABFRL) , Arvind Fashions and Rupa & Co.
Consumption of inner wear, including men's underwear has been on a revival since June 2024.The sales of Page industries rebound as demand revived and the company recorded an improved inventory health at its distribution hubs. Ganesh VS, Managing Directorsays, the rise in ecommerce operations and digital platforms have expanded the company’s market reach, enabling it to connect with the consumers more effectively.
Inner wear sales have remained stagnant for over six quarters now, along with a slowdown in overall apparel demand. However,, the inner wear category at Arvind Fashion is growing at double digits, faster than overall sales at the company. The revenues of Rupa& CO also grew by 8 per cent in the April-June period while its sales volume rose by 9 per cent.
The innerwear business of ABFRL grew at robust rate last quarter while the company’s athleisure segment continued to shrink due to the high base of the COVID period when multiple new brands had entered the segment due to a sudden surge in demand.
Apart from the men's underwear index, other macro indicators also point toward a recovery. Inflation based on the Consumer Price Index (CPI) reached its lowest in five years to 3.54 per cent though this was partly due to the base effect. As per the Reserve Bank of India (RBI), India’s economy is projected to grow by 7.2 per cent in FY25.
