Vedant Fashions Ltd — Q3 FY26

Vedant Fashions Ltd Q3 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=mhYHVG1lagA Published: 3 months ago

0:01 1 second Ladies and gentlemen, good day and welcome to the Vedas Fashions Limit Limited Q3 FI26 earnings conference 0:08 8 seconds call. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation 0:16 16 seconds concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchstone phone. Please 0:25 25 seconds note that this conference is being recorded. I now hand the conference over to Mr. Gorav Jagani from JM Financial. 0:33 33 seconds Thank you and over to you sir. 0:35 35 seconds Uh hello everyone. On behalf of GM Financial I would like to welcome you all to Vedan Fashion's Q3 FI26 earnings 0:43 43 seconds conference call from the management today we have with us Mr. Rahul Maraka CFO and Mr. Nirit Saraf GM FPNA and head 0:53 53 seconds investor relations. Uh thank you and over to you sir. 1:00 1 minute Good afternoon, namaskar and a warm welcome to all participants. I am Rahul Muraka the chief financial officer of the company. I am accompanied with Mr. 1:09 1 minute, 9 seconds Nir Shar GM FPNA and investor relations. 1:13 1 minute, 13 seconds Thank you for joining us today to discuss Vidant Fresh Limited Q3 and 9 month FI26 results. 1:20 1 minute, 20 seconds I hope you got an opportunity to go through our financial results and investor presentations which have been uploaded on the stock exchange as well as the company's website. 1:29 1 minute, 29 seconds During the quarter sale of our customer was around 692 cr and during 9 month period it was around 1,447 cr with a growth of around 5.4%. 1:40 1 minute, 40 seconds For the SSG during the 9 month of FI26 stood at 1.8%. 1:47 1 minute, 47 seconds As highlighted in our earlier discussion, this year our focus remained firmly on strengthening the quality quality of our retail business. This is 1:55 1 minute, 55 seconds reflected in the improvement across our retail KPI during the quarter as well as 9 months period. 2:02 2 minutes, 2 seconds Our continued strategic emphasis on enhancing customer experience, deepening design offerings, introducing attractive price point, strengthening retail 2:11 2 minutes, 11 seconds training, leveraging data le merchandising and replenishment and maintaining discipline KPI management has collectively supported an 2:19 2 minutes, 19 seconds improvement of key retail uh KPIs and also improved inventory terms. 2:26 2 minutes, 26 seconds In line with this calibrated approach, we pursued collective store expansion while rasterizing smaller format and 2:33 2 minutes, 33 seconds under locations resulting in an addition of approximately 5,500 during the quarter. 2:40 2 minutes, 40 seconds Additionally, we launched another flagship brand a flagship exclusive brand outlet of 9,000 square ft in Mumbai which further strengthened our promises a premium retail presence. 2:53 2 minutes, 53 seconds During the year, we executed an integrated marketing strategy across our brands and channels, leveraging a balanced mix of digital and traditional 3:01 3 minutes, 1 second platform to enhance brand visibility, sharpen brand positioning, and deepen consumer engagement. 3:09 3 minutes, 9 seconds Our initiative included category campaigns, new wedding collection launches, festive and occasion based 3:15 3 minutes, 15 seconds promotions, store level activations, and influence collaborations. 3:21 3 minutes, 21 seconds A key highlight during the quarter was the successful launch of the Manavar Shadi Show, a six episode YouTube 3:28 3 minutes, 28 seconds podcast hosted by famous celebrity Karan Johar. 3:33 3 minutes, 33 seconds The series explores interesting take on modern India wedding planning blending humor celebrity conversations and expert insight. 3:42 3 minutes, 42 seconds It features well-known celebrity personalities, industry experts, celebrity couples like Priti Karbandha 3:49 3 minutes, 49 seconds and Kulkit Samrat covering themes across wedding fashion, styling trends, photography, bridal entries and evolving customer expectations. 4:00 4 minutes The series also explored topics such as real wedding stories, the evolution of wedding fashion, the growing influence of social media, and the importance of preserving wedding memories. 4:12 4 minutes, 12 seconds The show has delivered strong viewership and very positive feedback which further strengthen long-term brand equity through celebrity storytelling 4:21 4 minutes, 21 seconds reinforcing our connect with the modern Indian wedding customers. 4:25 4 minutes, 25 seconds Additionally, we continue to strengthen our brand portfolio through focus campaigns across liver. 4:32 4 minutes, 32 seconds Moi carried forward its Moi Rango campaign celebrating its uh India's vibrant testing spirit. and formally 4:40 4 minutes, 40 seconds built further momentum around its truly truly loop proposition through new collection launches and influencer storytelling. 4:49 4 minutes, 49 seconds May launched its new campaign celebration begin with Maywaz and DAS executed targeted digital and social media initiatives during key festive 4:57 4 minutes, 57 seconds periods to expand reach and engagement across marketplaces. 5:03 5 minutes, 3 seconds Collectively, all these efforts have enhanced brand positioning and consumer appeal across platforms with the positive impact expected to play out sustainably over the long term. 5:15 5 minutes, 15 seconds Now I would like to highlight the key financial performance metric for the quarter and 9 months period 31st December 2025. 5:22 5 minutes, 22 seconds Starting from Q3 FI26 performance update, revenue from operation during the period was around 492 cr. The 5:30 5 minutes, 30 seconds company continues to report healthy gross margin of 65.7%. And healthy actor margin of 44.6%. 5:38 5 minutes, 38 seconds The company reported best-in-class pack margin of around 27.4%. 5:42 5 minutes, 42 seconds And a profit after tax stood at around 135 cr. Now coming to 9 months period, the company reported revenue from 5:49 5 minutes, 49 seconds operation of 1,36 cr with a growth of around 1.7%. 5:56 5 minutes, 56 seconds The company continued to report healthy gross margin of around 66% along with healthy AITA margin of around 44%. 6:03 6 minutes, 3 seconds The AITA during the period stood at around 453 cr. The company also reported healthy pack margin of 25.2%. 6:11 6 minutes, 11 seconds And the profit after tax stood at around 261 cr. 6:15 6 minutes, 15 seconds Moreover, during a trading film period uh December 25, the company reported strong and healthy cash conversations of 6:22 6 minutes, 22 seconds 95% which has been computed based upon operating cash flow to pack including tax return 6:30 6 minutes, 30 seconds of 26 our performance was significantly impacted due to December on account of 6:37 6 minutes, 37 seconds dates in December and no dates in January compared with mutual consumed sentiment. 6:44 6 minutes, 44 seconds Sorry to interrupt sir. Uh so your voice is breaking 6:53 6 minutes, 53 seconds positive overall and clear growth in view of flexivity and during the period 7:01 7 minutes, 1 second premise is doing very well with an overall growth of 40% in Q3 and YTD along with SSG growth of 12% in Q3 and 7:10 7 minutes, 10 seconds around 16% in YD by the traction and writing and 7:17 7 minutes, 17 seconds training. We plan to further accelerate and scale this center faster in future. 7:24 7 minutes, 24 seconds Going forward, we remain firmly focused on our core strength supported by various ongoing initiatives to drive sustainable long-term growth. 7:33 7 minutes, 33 seconds We are optimistic that various government initiatives already undertaken will support a revival in consumer sentiment over the coming 7:40 7 minutes, 40 seconds period and we are fully prepared to capitalize on the improving demand environment. 7:47 7 minutes, 47 seconds Now we can move to the Q&A session. 7:51 7 minutes, 51 seconds Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchstone 7:59 7 minutes, 59 seconds telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use answers while asking a 8:07 8 minutes, 7 seconds question. Ladies and gentlemen, we will wait for a moment while the question assembles. 8:23 8 minutes, 23 seconds The first question is from the line of Tes Sha from Aendis Park. Please proceed. 8:30 8 minutes, 30 seconds Uh hi hi Raji thanks for the opportunity. 8:33 8 minutes, 33 seconds Hi we have seen uh compression in uh a gross margin without commensurate 8:42 8 minutes, 42 seconds acceleration in growth. So if you can start by kind of sharing your thoughts on gross margin compression and and how 8:50 8 minutes, 50 seconds to think about this trade-off that let's say if gross margin goes down can we expect some acceleration in growth or or 8:57 8 minutes, 57 seconds both are not related at least in the current markets construct. Thank you for your question pages. 9:06 9 minutes, 6 seconds So uh in the earlier periods stages we have been able to achieve exceptional gross margin. 9:12 9 minutes, 12 seconds This time in the current Q3 the gross margin got impacted majorly because of GST because as we have discussed earlier 9:19 9 minutes, 19 seconds in 90% of our products GST rates have increased from 12 to 18%. However following a balanced approach from a 9:26 9 minutes, 26 seconds consumer lens and consumer prospect we have not increased MRP of all the products and hence we wanted to deliver products which are aspirational yet 9:34 9 minutes, 34 seconds value for money. So accordingly there is some level of one time GST impact which has come on our revenue as well as margins and profitability. which we 9:42 9 minutes, 42 seconds believe that will get normalized to a large extent in the upcoming period. 9:48 9 minutes, 48 seconds As far as growth is concerned, we are working on uh different aspects. We are taking lot of initiatives around designs, varieties, price points to be 9:57 9 minutes, 57 seconds more competitive and how we can bring more fresh thoughts for the consumer. 10:01 10 minutes, 1 second How we can improve the consumer experience and we are doing different things. We are also taking lot of marketing initiatives like we started on 10:09 10 minutes, 9 seconds show with we have also signed a new campaign with Singh. So we taking lot in this 10:17 10 minutes, 17 seconds we feeling the position. 10:21 10 minutes, 21 seconds Sorry to interrupt sir I'll just disconnect your line and connect you again. 10:28 10 minutes, 28 seconds Okay, sure. 11:38 11 minutes, 38 seconds Ladies and gentlemen, we have the management again. That's what I'm saying. 11:46 11 minutes, 46 seconds Sir you may proceed. Yes sir. 11:49 11 minutes, 49 seconds So KJS I think I I don't know from where did you lose me during the conversation. 11:54 11 minutes, 54 seconds Uh on gross margin I'll just start from the beginning to be more relevant. So on gross margin you know in the earlier 12:01 12 minutes, 1 second period we have been able to uh achieve exceptional gross margins and during Q3 and this period the gross margin was impacted because of GST. 12:11 12 minutes, 11 seconds As you are all aware that in our segment GST has increased from 12 to 18% in 90% of our products. However, we have not 12:18 12 minutes, 18 seconds increased MRP to that extent considering the balanced consumer uh approach and to ensure that we deliver products which 12:26 12 minutes, 26 seconds are aspirational value for money and as a result there has been one time impact of GST in our revenue as well as profitability which we feel will get 12:34 12 minutes, 34 seconds normalized to great extent in the upcoming periods. However, as a management from a gross margin prospect, we are very confident that we'll be able 12:42 12 minutes, 42 seconds to achieve 65% plus of gross margin as we have informed earlier as well. 12:49 12 minutes, 49 seconds Sure. Sure. Uh second uh uh question uh on on uh uh so we we don't have a like 12:58 12 minutes, 58 seconds to like uh set as such but when we see uh names uh numbers of AIA fashions 13:05 13 minutes, 5 seconds ethnic portfolio or or size silk uh we at least from context of that PST it 13:13 13 minutes, 13 seconds seems that uh we are losing market share. So how would you frame your related market position in this context 13:21 13 minutes, 21 seconds and uh is this divergence more cyclical regional or execution led? How would you kind of try to explain that? 13:31 13 minutes, 31 seconds Sure. So on competition what RP is that we have done a lot of market at the ground level and we have been closely 13:38 13 minutes, 38 seconds monitoring competition at our end. What we see is that there have been overall multiple level of consolidation at an industry level. Because what we are 13:47 13 minutes, 47 seconds seeing are the organized few players who have started very recently in month two years six times but industry level we have actually lot of multiple 13:54 13 minutes, 54 seconds consultations even we have seen few players having five 10 stores that can be available finding up their business. 14:01 14 minutes, 1 second So we very confident on our mode which we have and as far as competition is concerned 14:11 14 minutes, 11 seconds as far as which you mentioned on it is very low for them and as a result at a low pace with you know new stores 14:20 14 minutes, 20 seconds opened in the last one two years. It is very I mean it is very obvious that the L2L growth or the performance will the 14:27 14 minutes, 27 seconds number will show very positive but from our prospect if you ask me like uh you know also if I if you talk about TUSA you know one of the brand you have been 14:36 14 minutes, 36 seconds mentioning so we'll talk about premiumization to a bit extent so look currently what we see when we talk about consumer sentiment premiumization is 14:44 14 minutes, 44 seconds actually in play so our brand Tom also has been doing exceptionally well during Q3 as well as the YTD period which is a 14:51 14 minutes, 51 seconds premium premium segment and it is of course a base is low as the other competitors also you mentioned. So when we talk about our our brand Tommy which 14:59 14 minutes, 59 seconds is a premium segment and doing pretty well exceptionally well I would say in Q3 we report 12% SSG growth in YDP we 15:07 15 minutes, 7 seconds reported 16% SSG growth and overall we reported 40% overall growth and with the kind of uh figure which we have it is 15:16 15 minutes, 16 seconds very encouraging and we have plans to faster expand it in near future. So that is how we look at competition as of now. 15:25 15 minutes, 25 seconds Got it. I I'll get back in queue for more questions. Thank you. Thank you. 15:31 15 minutes, 31 seconds Thank you. The next question is from the is from the line of Samir Gupta from India info line. Please proceed. 15:40 15 minutes, 40 seconds Uh hi uh good evening sir and thanks for taking my question. So firstly I understand there has been a peculiarity due to wedding dates this quarter but 15:48 15 minutes, 48 seconds even when the quarter started you would not have expected a decline in sales. So there would be some more additional 15:56 15 minutes, 56 seconds factors that have come in this quarter would it it would be helpful if you could highlight some of those as to what what exactly has happened apart from of course the wedding dates mismatch. 16:07 16 minutes, 7 seconds Sure. So I I'll give the entire conversation on the Q3 why Q3 got impacted and which will cover the other factors also. Swami thank you for your 16:14 16 minutes, 14 seconds question. So basically our Q3 performance got impacted because of January month because this year there 16:22 16 minutes, 22 seconds were no weddings in January at all. No single date of weddings. By the way last year there were 11 wedding dates in January. Furthermore, in December also 16:31 16 minutes, 31 seconds uh this year there were only three dates till 6th of December wherein last year it was pretty scattered till 14th of December and there were six wedding 16:38 16 minutes, 38 seconds dates. So of course there has been a major impact of December month because overall when we look at our October plus 16:46 16 minutes, 46 seconds November performance it has been we have done decent business and our business performance was positive. Furthermore what has happened is that this time 16:54 16 minutes, 54 seconds festivities have started very early. So like Navarati last time started in October. This time NARI started at the end of September only. So as a result 17:02 17 minutes, 2 seconds some part of revenue also got booked in September. So if you look at our business performance from September to November again we were able to do very 17:10 17 minutes, 10 seconds decent good business positive both actual and overall growth. However, it is the month of December which got so significantly impacted that the overall Q3 performance got impacted. 17:21 17 minutes, 21 seconds But the good part is that with all these happening we are all retail KPIs C ABS ABV everything has been doing very well 17:29 17 minutes, 29 seconds because of the hard work which we have done at the ground level. So that is a very positive sign from business fundamental aspect. Now what more important factor which is playing as you 17:38 17 minutes, 38 seconds mentioned Samir that what we were not knowing is that the impact of consumer sentiment like this was one thing which 17:46 17 minutes, 46 seconds we felt that you know with all the initiatives which government has taken on the GST and various other things. We were also very optimistic that the 17:53 17 minutes, 53 seconds consumer sentiment would drastically go up or will significantly go up I would say. However, we did not see any major 18:00 18 minutes shift in that consumer sentiment especially in the middle class segment because you know manavver is scattering to the middle class segment. So we have 18:08 18 minutes, 8 seconds seen that the value and premium are still doing very well but middle class is a segment which is getting affected where man is getting affected. So if you 18:15 18 minutes, 15 seconds look at a brand like to which is a premium segment brand so that has done exceptionally well because premiumization is in play. So you know 18:23 18 minutes, 23 seconds these are the various aspects which have impacted but the point there is look value management we have been doing a 18:29 18 minutes, 29 seconds lot of hard work at a brown level we have been doing a lot of we have taken a lot of initiatives for price point designs marketing initiatives and we 18:38 18 minutes, 38 seconds feel that once the macro level environment get better in upcoming periods whatever hard work we have done as a management as a company should show 18:47 18 minutes, 47 seconds that positive result going forward great Rahul That's very helpful. Uh 18:54 18 minutes, 54 seconds second question um so I mean this is the third consecutive year of subpar performance. Now I'm not asking 19:03 19 minutes, 3 seconds particularly for this quarter but if you analyze data over the past 3 years you would have identified some pain points. 19:10 19 minutes, 10 seconds So just wanted to understand like what are those pain points that you have uh identified. You mentioned the the middle 19:17 19 minutes, 17 seconds class is a uh is seeing a challenge. Is that kind of being validated in your data that you know it's the midend where 19:24 19 minutes, 24 seconds the growth has been slower or is it entry price points is it non-wedding merchandise smaller stores where there 19:31 19 minutes, 31 seconds is competition that has come up uh in nearby is it certain geographies that are lagging behind any any kind of analysis on this will be helpful. 19:42 19 minutes, 42 seconds Sure. Sure. So look on the in last two three years last one year at least what we have witnessed is that as 19:49 19 minutes, 49 seconds we discussed that the middle class consumer sentiment has actually been muted and it has affected all the consumer companies and we are also one 19:57 19 minutes, 57 seconds of them and because we also are wedding based discretionary. So why you know when wedding happens of course the bride and the groom will wear but what happens 20:05 20 minutes, 5 seconds is that the other attendees and the family members that is where the impact starts coming and which is affecting us also that is on the consumer sentiment 20:14 20 minutes, 14 seconds which has been affecting us for last at least one year I would say on the competition you know as I explained that you know of course after 20:22 20 minutes, 22 seconds stores have opened more than organized I would say unorganized lot of players have opened but we have seen lot of consolidation multiple level of consolidation also at the ground level. 20:33 20 minutes, 33 seconds This we have already seen and even the new players even the organized player who started opening two three years back 20:40 20 minutes, 40 seconds even they have this has already been started happening at the ground level for the unorganized player and overall industry level. So of 20:49 20 minutes, 49 seconds course you know competition would have some impact but when we monitor performance of our store where competition is there and where 20:57 20 minutes, 57 seconds competition is not there we don't see any major data in fact I mean the data which we come across of a store where 21:04 21 minutes, 4 seconds just nearby competition has come up we see a slightly positive data also which also surprises in a way so that is where we understand that you know there's 21:12 21 minutes, 12 seconds something else which is there apart from the competition and as far as of course so that is why you know consumer sentiment is something which we felt and 21:21 21 minutes, 21 seconds as far as price point is concerned look as I mentioned that we have taken a lot of initiative on uh ensuring that we have entry price point also we have done 21:30 21 minutes, 30 seconds a lot of work like I would I'll give you an example like for kort and jacket there's one price point called 2624 21:38 21 minutes, 38 seconds we have strengthened a lot in this price point to ensure that you know our products are very competitive at a very attractive price point so after GST it 21:47 21 minutes, 47 seconds was good for us also and more helpful for the consumers. So we have taken lot of these we have done lot of market surveys on the price points and how we 21:55 21 minutes, 55 seconds can uh improve ourself from a price point and from a designing perspective have 22:02 22 minutes, 2 seconds done a lot of ground work at the uh at the ground level so that you know whenever things improve we will be in a position to leverage that positivity. 22:12 22 minutes, 12 seconds Uh so just a followup here. So uh so competition is consolidating your efforts are in place but recovery on 22:21 22 minutes, 21 seconds growth still is contingent on overall macro pickup. Is that a fair understanding? Absolutely. Absolutely. 22:29 22 minutes, 29 seconds Or you feel there is like confidence now that you know next year you will probably add retail area which has been missing this year. Yeah, that's another 22:37 22 minutes, 37 seconds thing you have rightly. Yeah, you have rightly highlighted that I mean because this year you know strategically we were focusing on improving the quality of our 22:45 22 minutes, 45 seconds retail footprint to improve the overall quality of our business from a long-term sustainability prospect. But uh we feel that our store expansion should start 22:54 22 minutes, 54 seconds normalizing from next two three quarters. So of course from the upcoming financial year we we are uh we are we we expect that the store opening should 23:03 23 minutes, 3 seconds also start normalizing. So that will be another lever of growth for us which currently because strategically we were not focusing on that it was not there. 23:11 23 minutes, 11 seconds So that will also help a lot in future. 23:15 23 minutes, 15 seconds Got it Rahul that's that's very very helpful. Come back in the queue for any follow-ups. 23:20 23 minutes, 20 seconds Thank you ladies and gentlemen. The management 23:29 23 minutes, 29 seconds line has been disconnected. Please stay connected. We have connected with us. 24:15 24 minutes, 15 seconds Ladies and gentlemen, we have the management on the line with us. 24:20 24 minutes, 20 seconds The next question is from the line of Priya Dashri from FIL. Please proceed. 24:29 24 minutes, 29 seconds Hi, thanks a lot for taking my question. 24:32 24 minutes, 32 seconds So, uh I would once again you know uh like like you to talk about the growth aspect. So I mean I just want to ask you 24:40 24 minutes, 40 seconds know if we look at our uh performance over a over a year like over trading 12 months or something I think within that 24:48 24 minutes, 48 seconds period the number of tradings would would be normalized right I mean that is that that should be our assumption. So I 24:55 24 minutes, 55 seconds think if we are still not able to grow is it because the category itself is losing relevance and you know trends 25:04 25 minutes, 4 seconds that we used to mention that you know we are moving to uh more uh traditional wear during 25:11 25 minutes, 11 seconds weddings etc and that sort of that trend has stalled and uh secondly in this 25:19 25 minutes, 19 seconds uh environment are the organized players at an advantage given and that you know they 25:27 25 minutes, 27 seconds I don't know I mean whether they would not sleep properly or something like that because of which uh and they would be discounting more so are these factors 25:35 25 minutes, 35 seconds also playing out thanks thank you for your question so you know as far as the trend of traditional wear 25:43 25 minutes, 43 seconds is concerned you know we have been the lead player motivating people for encouraging people to wear Indian wear 25:51 25 minutes, 51 seconds over the years and that has really played a thought positively across and that is where we can see a lot of competition also coming up. So if we 26:00 26 minutes also look at recent uh you know high-profile weddings then we have seen that you know even foreigners are wearing Indian wear and attending the 26:08 26 minutes, 8 seconds weddings and 99% plus people attendees are wearing Indian wares. So from an industry prospect, Indian wear is 26:15 26 minutes, 15 seconds actually into play and it is doing really well not only in weddings but also across festivities and celebration and thankfully we have been able to have 26:24 26 minutes, 24 seconds that those campaigns which have helped overall improvement in sentiment and overall motivating everyone to wear 26:31 26 minutes, 31 seconds Indian wear over the years. So from an industry prospect and that is where you know so many players we see both organized and unorganized coming and 26:39 26 minutes, 39 seconds opening this store in this industry. So from an industry prospect it is a very growing industry and there is no challenge at all. Now as far as 26:48 26 minutes, 48 seconds unorganized player is concerned look our 80% basis what we did earlier 80% of our market we got a survey done a few years 26:57 26 minutes, 57 seconds before basic 80% of market is unorganized player and of course in last 3 four years a lot of stores have opened in the unorganized segment and we 27:05 27 minutes, 5 seconds acknowledge that there would be some impact of competition in our business but having said that the major reason of the business performance which we see in 27:13 27 minutes, 13 seconds last one year or so is because of the consumer sentiment and macro aspects which have played played a more important role and a major role in our 27:21 27 minutes, 21 seconds business performance rather than competition and as far as competition status is concerned look why many unorganized players have opened the stores in last three years but we have 27:29 27 minutes, 29 seconds seen a lot of consolidation also at the ground level and at the industry level as I mentioned there are also few players which were having five to 10 27:36 27 minutes, 36 seconds stores at pan India level they have also winded up all the stores so and our industry is a very challenging industry you know there are various modes which 27:45 27 minutes, 45 seconds are required uh and we are very confident on our modes what we have been able to develop in last two decades because understanding customer taste and 27:53 27 minutes, 53 seconds preference across bank India working on the supply chain and also look retail generally retail and apparel works on discounting mode earlier there was only 28:01 28 minutes, 1 second one two months in a year where discounting used to happen USS but now you would see a normal April player player retail player having discounting 28:09 28 minutes, 9 seconds US across the year now in our segment US is something which generally doesn't play give more benefit to any other 28:17 28 minutes, 17 seconds retail player because you know if you put Sherwan in 50% discount nobody's going to buy unless there's a wedding so there are lot of challenges in our 28:26 28 minutes, 26 seconds industry which is not possible for any unorganized player to cope up with and you know they are having very small 28:33 28 minutes, 33 seconds working capital so obviously in one two years it it looks exciting but once the overall liquidity gets stuck because the 28:42 28 minutes, 42 seconds inventory is not moving because USS discount doesn't play a role That is where the consolidation starts and good part about us is that look 28:50 28 minutes, 50 seconds overall all our KPIs have been increasing year across year on year every year we are seeing every quarter while of course you 28:58 28 minutes, 58 seconds know the revenue wise overall we have not been able to grow to a great extent but as far as retail KPI is concerned 29:04 29 minutes, 4 seconds which is the main fundamental and basics of running retail that is growing every quarter and every year which is the most 29:12 29 minutes, 12 seconds important thing and we have been able to fundamentally maintain our margins also at a at a at a pretty good level. So 29:20 29 minutes, 20 seconds that is where we feel that you know as soon as the macro environment improves we would be the first person and we would be in a very advantageous 29:28 29 minutes, 28 seconds situation basis whatever initiative we have taken in last one year at the ground. 29:37 29 minutes, 37 seconds All right. All right. Thanks a lot. Thank you. I'll come back. 29:43 29 minutes, 43 seconds Thank you. Before we take the next question, in order to ensure that the management is able to address questions 29:50 29 minutes, 50 seconds from all participants in the conference, please limit your questions to two per participant. The next question is from the line of Rahul Aarwal from Eekai Asset. Please proceed. 30:02 30 minutes, 2 seconds Yeah. Hi. Uh good evening Rahul G. Uh good evening. Just a couple of questions then I'll get back in the queue. So 30:09 30 minutes, 9 seconds firstly you mentioned about you know a store consolidation still going on and then next year should uh look better. 30:17 30 minutes, 17 seconds Could you elaborate a bit? Could you give more color? Uh where are we on this journey? What have we seen in this 9 months? We've seen some more shutdowns 30:25 30 minutes, 25 seconds in third quarter. Just a bit of elaboration on what are the thought process right now and how do you see uh next two years evolving on a top- down 30:33 30 minutes, 33 seconds basis that will really help. That's the first question. 30:38 30 minutes, 38 seconds Thank you all for your question. So you know strategically uh as a management we we focused on improving the quality of 30:45 30 minutes, 45 seconds our retail footprints which will result in improving the quality of our business that would be helpful for a long-term sustainability of the business from a 30:53 30 minutes, 53 seconds long-term prospect. So that is where you know we were focusing on our retail footprint which existing we have and uh there were some store closures which we 31:02 31 minutes, 2 seconds have done last year and current year also because of various reasons starting from you know smaller stores because if you'll see our majority store expansion 31:10 31 minutes, 10 seconds are having in the flagship segment we are opening more larger stores so in order to improve the overall brand identity and customer experience we have 31:18 31 minutes, 18 seconds been closing smaller store of thousand square ft and less including the SI store. So that is one reason. Secondly, you know, generally because Indian 31:27 31 minutes, 27 seconds environment is very dynamic. Cities, many cities in India are also dynamic. 31:31 31 minutes, 31 seconds New markets are evolving. Old markets are getting old. So there are a lot of market shifts are also which are happening within a city. So that is 31:38 31 minutes, 38 seconds another reason what we are doing is that we are closing the markets store in market which are very old and now where the market is not doing so well because 31:46 31 minutes, 46 seconds it has shifted to another location. So that is another reason. And third is of course there are certain stores which are not very very much performing as per 31:54 31 minutes, 54 seconds our KPIs. So that is why we are consolidating on those things. And what we feel and I'm very confident as a management is that once this exercise is 32:02 32 minutes, 2 seconds over in next two three quarters. So to answer your question Rahul we feel that this exercise should get over in next two three quarters and from there on we 32:10 32 minutes, 10 seconds feel that the quality of business and the overall productivity should be very good. And as far as store expansion is concerned, this is where you know store 32:18 32 minutes, 18 seconds expansion also we have not seen much store expansion this year strategically but we feel that the store expansion should start normalizing from next two three quarters. 32:29 32 minutes, 29 seconds Right. Right. So if I look at you know the store count right I mean June 23 we had similar stores 664 odd 32:39 32 minutes, 39 seconds basis going into next three quarters are we going to see an absolute decline here or we going to see though we not going to see net additions I understand 32:47 32 minutes, 47 seconds because it's going to be gross plus some closures but we'll maintain this count going forward is that understanding correct 32:56 32 minutes, 56 seconds so to be very frank you know what how we judge and how we monitor square fit uh store expansion is based on square feet area and why you see a decline in 33:05 33 minutes, 5 seconds account is that because as I mentioned we have been opening larger stores and we the closures which are happening are smaller stores which are there so 33:12 33 minutes, 12 seconds because 1,000 square ft and less or smaller stores are closing so that is why count wise it is going down but I think the kind of store opening which we 33:21 33 minutes, 21 seconds do it varies from 2,000 ft² to 20,000 ft² so that is why the right way of monitoring which we also do is based on 33:28 33 minutes, 28 seconds square area rather doesn't count to see how we are progressing on the expansion. 33:35 33 minutes, 35 seconds Got it Rahul G. I understand that. Uh understand. And there's last question on balance sheet. Uh you know given the slowdown and moving of demand between 33:42 33 minutes, 42 seconds quarters I think wedding days for you know Feb 26 is a very strong month I would imagine almost double digit wedding days. Some flow through we have 33:51 33 minutes, 51 seconds seen in January some comments on that and u and on inventory is there anything to worry about? 34:00 34 minutes So on the inventory side you know we have built lot of efficiency around there as a result of efficiency in supply management and inventory management and demand planning. Uh as a 34:09 34 minutes, 9 seconds result we have seen improvement in inventory turns as well which is actually something amazing to have from a business prospect because we are able 34:16 34 minutes, 16 seconds to do uh much more business with lesser inventory turns. So basically from that prospect inventory levels have really 34:24 34 minutes, 24 seconds improved at our warehouse as well as at the store on as far as January is concerned as we discussed there were no wedding dates at all in January. 34:32 34 minutes, 32 seconds Considering that aspect we have been able to do decent business in the month of January. Got it. Thank you so much for answering. 34:41 34 minutes, 41 seconds I'll get back in the queue. Thank you. Thank you. 34:44 34 minutes, 44 seconds Thank you. The next question is from the line of Ashish from investq PMS. Please prat. 34:52 34 minutes, 52 seconds Yes. Uh uh sir just wanted to understand because we we've stalled on opening new stores and I would assume that uh we are 35:00 35 minutes still long way to go uh in terms of penetrating the markets that are available in India for our sort of uh 35:06 35 minutes, 6 seconds products. So uh is it to uh I mean it sounds like um the ROIs on those 35:15 35 minutes, 15 seconds investment not come immediately or maybe might be lower than what your company ROIs would be or paybacks would be but 35:23 35 minutes, 23 seconds does it make sense to just stall the entire process because uh you think that the markets are not supportive enough 35:31 35 minutes, 31 seconds because the maybe the ROIs are not like maybe 30 40% and maybe it's like 20%. So as a businessman how one should one would approach this? 35:41 35 minutes, 41 seconds Sure. Thank you for your question. So two things are there. First of all look last year if you look at FI25 on a net 35:48 35 minutes, 48 seconds basis we did open 85,000 ft² and that two is on also on a net basis because there were closures also. So at a gross level in last year we did decent 35:56 35 minutes, 56 seconds openings and we did pause on store opening acceleration and this year also we have opened store at a gross level but we have closed also because of 36:05 36 minutes, 5 seconds reasons we have discussed and as a result on a net basis it looks like uh we are just 2,000 3,000 area expansion 36:12 36 minutes, 12 seconds but we have been expanding also and the reason we have been doing is first of all to improve the quality of our retail 36:19 36 minutes, 19 seconds equipment so that the quality of business improves. Secondly, you know, one year back when we discussed the there was a lot of inflation in the 36:28 36 minutes, 28 seconds league rentals because of which also we had paused the acceleration of store expansion because whenever we enter into 36:35 36 minutes, 35 seconds lease rental it is for a very long period. It is for 10 to 15 years. So if we enter into a commitment with a very high rely rental then it is a long-term 36:44 36 minutes, 44 seconds impact on our profitability and that is why because of these reasons we we did pause uh the the manner in which we were 36:52 36 minutes, 52 seconds accelerating the growth of retail opening but having said that the fact is that we have been still opening even last year and currently also we have had 37:00 37 minutes some uh gross openings and we feel that this exercise of consolidation will get over in next around two quarters and 37:07 37 minutes, 7 seconds from there on we feel that the store expansion will get normalized as it was happening earlier. 37:14 37 minutes, 14 seconds Follow up on that would be uh would you say that the uh paybacks on the new stores uh has elongated versus what used to see you used to see in the past? 37:26 37 minutes, 26 seconds Not really actually to avoid it that we have done this because you know that as I mentioned that to avoid a scenario 37:33 37 minutes, 33 seconds wherein we get into a very commit commitment of very high season rental we didn't want to get into that situation and that is where because we are into a 37:41 37 minutes, 41 seconds franchise business so we are very cautious and we have a very proper approach on store opening so that we ensure that wherever we open store we 37:49 37 minutes, 49 seconds ensure that not only we make money but the franchisee also makes money. So we open the store only with the content where both of us are able to make good 37:55 37 minutes, 55 seconds amount of money. So the point is not that we were seeing that the ROI will not be but because of if you look at our 38:03 38 minutes, 3 seconds store expansion in last two three years we have opened at least around neck on around seven lakh stores in in the store 38:10 38 minutes, 10 seconds area which is a huge store expansion. So we also wanted to review those ones which we have already opened. But the 38:18 38 minutes, 18 seconds question was not on the ROI. The question was how we can improve the existing fleet which we already have and how we can wait for the right moment to 38:27 38 minutes, 27 seconds come when we can accelerate our store expansion. So you know store expansion is already in our hand because we have all the mappings of the market the 38:35 38 minutes, 35 seconds cities where we need to expand. It is just about the right moment we are waiting that is where we will accelerate that in next few quarters as I mentioned. 38:44 38 minutes, 44 seconds Okay. Uh actually um sir is it likely to be a problem with the uh festive wear 38:52 38 minutes, 52 seconds category itself because there are there are different uh retail businesses having different um directions because 38:59 38 minutes, 59 seconds um in certain mass retail we are seeing that the SSGs and everything is growing very well. So uh would you comment on 39:07 39 minutes, 7 seconds that? Is it specific to category or uh generally the market is not great because numbers speak something different for other people. 39:17 39 minutes, 17 seconds Look overall this industry has been really doing very well as as we discussed overall the industry has been doing very well and that is where we see 39:25 39 minutes, 25 seconds so many players coming up as well as consolidating. But the point is that this industry itself is very difficult to work upon. It is not a very easy 39:33 39 minutes, 33 seconds industry to work upon because consumer taste and preference are very different. 39:37 39 minutes, 37 seconds Every region, every city, India is a complex country. Look with different taste and preference across markets, cities and states. So it is very 39:46 39 minutes, 46 seconds different difficult industry to work and survive and grow from here on. So that is the reason we see some consolidation 39:53 39 minutes, 53 seconds already happening. But from an overall industry prospect has been really doing very well. When we compare with you know any mass or a value retail or a premium 40:02 40 minutes, 2 seconds retail as I mentioned you know in India middle-class segment is something which has actually got impacted in last one year when it comes to consumer sentiment 40:11 40 minutes, 11 seconds but if we talk about value or when we talk about premiumization those are the areas which have actually not got impacted so that is where we see as I 40:19 40 minutes, 19 seconds mentioned that you know our premium brand Tom is doing exceptionally well man being in the middle mid- premium segment has been impacted 40:27 40 minutes, 27 seconds because of uh the current macro environment. Okay, thank you so much. Thank you. 40:35 40 minutes, 35 seconds Thank you. 40:37 40 minutes, 37 seconds The next question is from the line of Azaruin from Samitra Capital. Please proceed. 40:46 40 minutes, 46 seconds Yeah. So, thank you for taking my question. Most of my question was already answered. So uh just uh one 40:54 40 minutes, 54 seconds question on we took some initiative on our cocoa uh stores uh in last quarters 41:02 41 minutes, 2 seconds and we invested around 11 crores as a capex as well. So just uh can you please share the initial performance insight? 41:10 41 minutes, 10 seconds How are these stores performing in terms of revenue per square wit store level aid and uh payback period compared to 41:17 41 minutes, 17 seconds FCO stores and based on the pilot result do we see a larger roll out of Coco stores ahead? 41:25 41 minutes, 25 seconds Thank you for the question. So look as a model we'll continue with the franchise model which we have. So from future prospect also largely our expansion 41:33 41 minutes, 33 seconds would come from franchise store only. uh as we mentioned in our earlier call we had converted some franchise store to coco store to to do some experimentation 41:42 41 minutes, 42 seconds and to try new things to see you know how what is the outcome of that. So from a so from a future prospect the 41:50 41 minutes, 50 seconds expansion would be largely from uh franchise only and not coco model. as far as performance of these stores are concerned, it has been doing decently 41:58 41 minutes, 58 seconds well. Apart from you know general the December reason and whatever is there but overall when we compare to the other 42:06 42 minutes, 6 seconds stores in the same region it has done decently well. They have done entirely what other stores have done. 42:12 42 minutes, 12 seconds Okay. And uh how are you tracking the uh let's say average selling price of across your different brands? Let's talk 42:20 42 minutes, 20 seconds about the manavar or the touame or mohe mayal. So is there any data which you 42:26 42 minutes, 26 seconds are tracking across your new uh product launch in the particular brand or what's 42:33 42 minutes, 33 seconds I just want to the note the blended realization across the brand compared to your uh peers. 42:40 42 minutes, 40 seconds So brand wise we are we are having a complete track of ASP brand wise. uh so typically you know because we have 42:49 42 minutes, 49 seconds access to all the post sale which is happening at the franchise store so our ERP is fully integrated uh for for us 42:56 42 minutes, 56 seconds wherein we have full visibility of at what price what products are being sold to which customers so that is not a 43:02 43 minutes, 2 seconds problem so blended ASP for us is around 5,000 if you look at current YTD and of course the ASP of Man would be 43:12 43 minutes, 12 seconds below that and to would be higher it would be in the range of 15,000 AS 15 to 16,000 and mo would be in the range of 43:20 43 minutes, 20 seconds uh 7,000 6,000. So that would be the break up of AS. Okay. Thank you. All done. Thank you. 43:29 43 minutes, 29 seconds Thank you. The next question is from the line of Men from Sial Capital. Please proceed. 43:42 43 minutes, 42 seconds Sorry to interrupt sir. Main sir, your voice is not clear. 43:50 43 minutes, 50 seconds Is this now clear? Yes sir. 43:55 43 minutes, 55 seconds Yeah. Uh sir, your gosh GSC rate as I understand is about 17%. 44:01 44 minutes, 1 second Could you help us with the why? Because it's coming very low for us. I'm not able to hear properly. 44:09 44 minutes, 9 seconds Yeah. Uh so your gross GST rate uh is about 17%. Uh can you help us with the net GST rate? 44:22 44 minutes, 22 seconds So our GST rate on all products above 2,500 is 18%. 44:29 44 minutes, 29 seconds Yeah. Yeah. So blended I calculated about 90. 44:34 44 minutes, 34 seconds Huh. So basically 90% of our products are in that bracket only and only 10% of product would be in a bracket where the 44:41 44 minutes, 41 seconds GST rates are 5%. So overall if you ask me maybe uh you know it would be in the range of 16 percentiles. 44:50 44 minutes, 50 seconds Okay. 44:53 44 minutes, 53 seconds And uh could you sort of uh give us some sense of the net GST rate after considering the benefit of input tax credits? 45:06 45 minutes, 6 seconds So look input tax rate in our case uh the fabrics which we purchase are generally at 5%. Whereas our output is at 18%. 45:14 45 minutes, 14 seconds for for the manufacturing which we do. 45:17 45 minutes, 17 seconds So basically at a net level if you reduce 5% you'll get the uh net GST rate for that 45:24 45 minutes, 24 seconds but other credit as well right on rent etc. 45:29 45 minutes, 29 seconds We would have uh put tax rent. Yeah. 45:34 45 minutes, 34 seconds No, we don't uh take anything on rent actually. We don't have any rental model. 45:40 45 minutes, 40 seconds So there are other input credits on services if you are coming to that like lease cost and other things. So those inputs are there but broadly at a net 45:49 45 minutes, 49 seconds level I would tell you that it would be net of everything. It would be in the range of you know high single digit I would say at least. 45:58 45 minutes, 58 seconds Got it sir. Thank you very much. Thank you. 46:03 46 minutes, 3 seconds Thank you. The next question is from the line of Prashant Sha and investor. Please proceed. 46:09 46 minutes, 9 seconds Hello. Am I is my voice audible? Yes absolutely. 46:15 46 minutes, 15 seconds Yeah. Uh thanks for the opportunity. Uh uh just an analogy. I mean you know I mean you mentioned in your earlier 46:22 46 minutes, 22 seconds comments that the middle class sentiment has not turned up as uh the company would like to be. Uh as an analogy I 46:30 46 minutes, 30 seconds mean gold prices have gone through I mean have gone up exponentially uh but still I mean uh jewelry companies 46:38 46 minutes, 38 seconds have done have reported fantastic numbers. The quantity has sold has been has may have come down but the 46:46 46 minutes, 46 seconds realization the design almost all of them have done have reported a fantastic numbers and uh so my point is and then 46:55 46 minutes, 55 seconds to be I mean uh pardon me if I'm very blunt has there been some sort of slip up in reading the consumer sentiment which has 47:03 47 minutes, 3 seconds impacted our quarterly sales or is it that I mean the consumer is not finding a value which is why he is looking for 47:13 47 minutes, 13 seconds alternatives and that is impacting our sales. That is my first question. Sure. Thank you for your question sir. 47:20 47 minutes, 20 seconds Uh so look we are not an expert on jewelry companies but the basic thing what our understanding go is that considering the price of jewelry which 47:28 47 minutes, 28 seconds has gone up significantly in last one year. I mean that would be one important aspect to consider from a growth prospect for them. And secondly is that 47:37 47 minutes, 37 seconds you know in India jewelry is not a discretion. It is an investment. It it is for both. I mean even in the large companies which who are dealing with 47:44 47 minutes, 44 seconds jewelry less than 50% is based on wedding for them and more than that is other than wedding. And in India you know people 47:53 47 minutes, 53 seconds look for jewelry from an investment prospect also and not for an expenditure. Sorry to interrupt sir. 47:59 47 minutes, 59 seconds There's uh the line is breaking again. I'll just reconnect. 48:09 48 minutes, 9 seconds Ladies and gentlemen, please stay connected. 49:05 49 minutes, 5 seconds Ladies and gentlemen, we have the management connected. You may proceed, sir. 49:12 49 minutes, 12 seconds Yeah. So I think we uh I was able to explain the rush which is there on silver and gold which may be driving the 49:20 49 minutes, 20 seconds the overall growth for the jewelry players and the jewelry as a segment is not an expense but also considered an investment from an Indian culture 49:28 49 minutes, 28 seconds perspect. So not very comparable to be very frank with our segment. So from our reading sir the actual reason is because 49:36 49 minutes, 36 seconds we have been closely monitoring our products uh performance all retail KPIs we have been doing market surveys at the ground level we have been discussing 49:44 49 minutes, 44 seconds with various people at the market we have been discussing with various players also so our understanding seems to be that the overall consu consumer 49:53 49 minutes, 53 seconds sentiment at the middle class level are actually impacted which is majorly affecting our business apart from uh the wedding dates play which did play a very 50:01 50 minutes, 1 second important role Because if you look at overall revenue also as we mentioned if we exclude you know December month then you know in 50:10 50 minutes, 10 seconds the festivities and celebration we have been able to do decent business but of course with positive more positive consumer sentiments we could have done 50:17 50 minutes, 17 seconds better as well but overall when we talk about Q3 performance it is majorly because of you know December and January wedding 50:25 50 minutes, 25 seconds along with the muted consumer sentiment of course. 50:30 50 minutes, 30 seconds Uh well I mean we'll have to go with that but because you know I mean jewelry was one example but otherwise if you say 50:37 50 minutes, 37 seconds wedding venues, airlines, hotels, wedding coordinators, I mean all of them seem to be doing a roaring business but 50:44 50 minutes, 44 seconds if you say so I mean f fair enough I mean my second question was in one of your earlier calls you had mentioned that uh lease rental inflation you 50:54 50 minutes, 54 seconds consider at 4% per year. So a growth below 4% would be a degrowth. Uh is my understanding correct? 51:05 51 minutes, 5 seconds Um so thank you for your question. I actually don't recall that we did give any commentary. What we mentioned is that you know every we have generally 51:14 51 minutes, 14 seconds lease term of 10 to 15 years and every 3 year generally 3 to four years there's an escalation clause which is there for 51:22 51 minutes, 22 seconds around you know say 5% or plus of escalation in the lease rental. 51:26 51 minutes, 26 seconds So that is how we are and because we enter into lease rental for long-term basis say for 10 to 15 years. So if we 51:34 51 minutes, 34 seconds commit on a high on an environment where the leent at a high high uh high rate then it becomes a long-term commitment for us. 51:42 51 minutes, 42 seconds Okay. So in light of the recent I mean know what I what you just sorry to interrupt it Mr. Prashant maybe request you to join the question. 51:49 51 minutes, 49 seconds Madam add on to that only I mean this is the last one. Is the company thinking of re renegotiating any of the lease rentals and right I mean in view of the recent business trend? 52:01 52 minutes, 1 second Yeah yeah absolutely. So look I mean we do uh renegotiate lease rental wherever we feel that there's an opportunity considering the overall market 52:09 52 minutes, 9 seconds situation. We always do that as a normal process. 52:13 52 minutes, 13 seconds Okay. Uh that's all. I wish you all the best. Thank you so much. Thank you. 52:19 52 minutes, 19 seconds Thank you. The next question is from the line of Praa Janjinwala from Alara Securities. Please proceed. 52:27 52 minutes, 27 seconds Thank you for the opportunity. Uh just wanted to understand the mix uh of cities how uh the demand has been 52:35 52 minutes, 35 seconds panning out whether there is uh pain in some segment of cities like tier 2, tier three because you are the widest uh uh 52:44 52 minutes, 44 seconds available brand in uh the organized space. So um is there any opportunity or 52:52 52 minutes, 52 seconds challenge that you see in tier 1, tier 2, tier three that that have been affecting you uh in some way or has been 53:00 53 minutes is now available for opportunity? In both ways I would like to understand the geography of our brand visibility. 53:08 53 minutes, 8 seconds Thank you PR for your question. So you know at a whly level we don't see any gap uh geographically 53:16 53 minutes, 16 seconds to be very frank but on a quarteronquarter basis there are various reasons why different geographies do behave differently like um like in case 53:25 53 minutes, 25 seconds of south two we saw that you know overall at a level it has done good positive business but when you look at 53:32 53 minutes, 32 seconds Q3 it was more impacted than other regions because they have their own inos in unuspicious period which started 53:39 53 minutes, 39 seconds earlier called Mudhham which started earlier this time in November end which generally started in December mid but apart from that we have not seen much 53:48 53 minutes, 48 seconds major difference geographically at a pendant level so a follow up to this is that uh we 53:54 53 minutes, 54 seconds seeing um difficult time across uh our across geographies given that ours have 54:03 54 minutes, 3 seconds been declining so is that a right understanding not even for this quarter but you know from a 9-month perspective as well. 54:12 54 minutes, 12 seconds So you know to be uh to be honest uh if we exclude the December month which has been exceptional December month which we 54:20 54 minutes, 20 seconds have not seen at least in last 5 years wherein there have been no uh no weddings in January. If you look at the core wedding and festivity period 54:29 54 minutes, 29 seconds period, we've actually done decent positive business. But it is just because of this uh December month that 54:36 54 minutes, 36 seconds our overall you know performance has got impacted in Q3 and of course either girl levels have also got impacted. As I mentioned if you 54:44 54 minutes, 44 seconds look at September to November or October to November then we have done decent positive business both overall as well as L2L. But the December month was so 54:53 54 minutes, 53 seconds drastically impacted that it actually impacted the entire quarter. So to be very frank when it comes to festivity and wedding there was another question 55:02 55 minutes, 2 seconds that others are also doing well. So we have also grown only during that period but it is just because of the wedding calendar because of the December month it got so much affected in quarter 3. 55:13 55 minutes, 13 seconds Okay. So my second question is on brandwise performance uh given that your premium portfolio continues to do 55:20 55 minutes, 20 seconds better. Could you just help us understand how the brand mix has changed over the last three to four period years 55:28 55 minutes, 28 seconds and how do you foresee it going forward and whether Mana as a brand uh what kind of investments would you see if if that percentage is declining meaningfully? 55:40 55 minutes, 40 seconds Sure. So with the growing brands of course you know the pie of new brand percentage of mix have been improving 55:47 55 minutes, 47 seconds and and of course we expect that it to further improve along with Manav because Manav also we are very confident that it 55:55 55 minutes, 55 seconds will grow with along with other brand also but yes of course there has been some percentage slight which has also overall other brands if you see that has 56:03 56 minutes, 3 seconds improved over manuver but from a future prospect we we are very confident that all our brands along with our flagship 56:10 56 minutes, 10 seconds brand will have a very strong growth potential. Uh so difficult to comment on you know how the mix would change going 56:17 56 minutes, 17 seconds forward. Uh but yes we see a healthy growth in all our brands from a future prospect. 56:24 56 minutes, 24 seconds The current mix would help if you could share. 56:28 56 minutes, 28 seconds Oh actually I'm so sorry but we are not currently sharing the mix percentage. Uh but yes in future at some point of time we would definitely do that. 56:36 56 minutes, 36 seconds Sure. Thank you so much and all the best. Thank you. 56:40 56 minutes, 40 seconds Thank you. Due to time constraints, that was the last question. I now hand the conference over to the management for the closing comments. Over to you, sir. 56:51 56 minutes, 51 seconds Um, namaskar and thank you everyone. It was a great pleasure interacting with you all with all the analysts. Thank you very much for joining. Looking forward to interact again in the next quarter. 57:01 57 minutes, 1 second Thank you. Thank you. Thank you on behalf of GM Financial. 57:07 57 minutes, 7 seconds That concludes this conference. Thank you for joining us.