Spencer’s Retail Ltd posts Q2 net loss of Rs 87 crore

Spencer’s Retail Ltd, part of RP-Sanjiv Goenka Group reported widening of net loss to Rs 87 crore ($10.3 million) for the second quarter ended September 30, as against Rs 70 crore in the year-ago quarter.

The company’s revenue for the quarter was down to Rs 518 crore, as against Rs 574 crore in the corresponding quarter of the previous financial year.

During the July-September quarter, the e-commerce business gained traction and delivered year-on-year growth of 21 percent.

The company opened one store during the quarter to take store count including Natures Basket to 131 stores across 27 cities in India.

Commenting on the results, Shashwat Goenka, chairman of Spencer’s Retail in a statement said, “Spencer’s delivered a resilient performance amidst a soft trading environment in Q2. We actioned the earlier announced ramping down of operations in NCR and South, which had a resulting impact on the top line. However, we delivered robust growth in the continuing regions of East and UP whilst resetting the operating and support costs, the impact of which will fully accrue from Q3.”

“The business remains focused on driving business growth in its key operating regions, emphasizing improvement in key operating metrics such as margins, sales productivity, and costs, and advancing its share of the e-commerce mix,” he added.

Spencer’s Retail is a multi-format retailer offering products across categories such as FMCG, fashion, general merchandise, personal care, home essentials among others.