Indian retailer Arvind on Tuesday revenue a revenue dip for the fifth consecutive quarter. Low woven product pricing and decreasing denim demand have affected the market.
The Bengaluru-based firm, which owns and licences brands like as Tommy Hilfiger and Calvin Klein, said its consolidated revenue from operations declined 4.6 per cent to 18.8 billion rupees in the December quarter.
Revenue from the company’s textile segment, which accounts for nearly 75 per cent of total sales, fell 8 per cent.
Cotton prices fell, prompting the merchant to lower goods pricing from the previous year.
The firm also reported a seasonal decline in volumes, which it attributed to sluggish demand in the denim sector.
Arvind sells denim products of brands such as U.S. Polo Association, Arrow and Flying Machine.
Retailers have struggled to sustain consistent financial performance this fiscal year, owing to low demand as inflation-weary customers cut back on spending. Arvind’s revenue has fallen between 11 per cent and 21 per cent over the previous four quarters.
During the reporting quarter, the company’s total costs reduced by 6.4 per cent, resulting in a 9 per cent increase in consolidated net profit.The business expects higher volume growth across divisions and good profitability in the March quarter.
The limited Red Sea freight movement is anticipated to have an impact on Arvind’s advanced materials sector, which manufactures textiles and protective gear for construction.
