Shoppers Stop reports Q2 profitability turnaround

Indian fashion retailer Shoppers Stop (SSL) recorded a turnaround in profitability for the second quarter ended September 30, 2026, driven by its focus on premium product categories and operational discipline.

Consolidated sales under Non-GAAP reached 1,618 crore rupees, representing a 7 percent year-over-year (YoY) increase compared to 1,507 crore rupees in the same period last year. Profit after tax (PAT) shifted to a positive 6 crore rupees, recovering from a net loss of 7 crore rupees in the prior-year period. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose 56 percent YoY to 43 crore rupees.

On a GAAP basis, consolidated sales reached 1,366 crore rupees, a 9 percent YoY growth from 1,257 crore rupees. GAAP EBITDA increased 22 percent YoY to 219 crore rupees, while GAAP PAT stood at 3 crore rupees, reversing a net loss of 20 crore rupees recorded in the second quarter of the previous fiscal year.

SSL managing director and chief executive officer Kavindra Mishra said: “We are pleased to report a strong performance in Q2, despite the festive season shifting largely to Q3 this year. Our Consolidated Non-GAAP revenue grew 7% YoY to Rs 1,618 Cr, while EBITDA increased 56% YoY to Rs 43 Cr. More importantly, we delivered a meaningful turnaround in profitability, with Consolidated PAT turning positive at Rs 6 Cr compared to a loss of Rs 7 Cr in the last year and Standalone PAT also turning positive from a loss of Rs 10 Cr in last year, reflecting the strength of our operating leverage and the successful execution of our Shoppers Stop 2.0 strategy.”

Department stores and beauty segment drive revenue

Department store format sales totalled 1,302 crore rupees, reflecting a 4 percent increase. Like-for-like (LFL) sales growth, adjusted for the shifting timing of the holiday festival season, reached 7 percent.

The beauty segment demonstrated stronger momentum, reporting sales of 367 crore rupees, an 18 percent YoY expansion. Within beauty, the fragrance category expanded 35 percent YoY. Beauty distribution through Global Speciality Beauty Brands (GSSBB) recorded its highest quarterly sales at 168 crore rupees, up 59 percent YoY.

Premium offerings comprised 73 percent of total sales during the quarter, representing a 390 basis point increase compared to the prior-year period. Overall sales across the premium portfolio rose 10 percent YoY.

Operational updates and retail footprint expansion

During the quarter, SSL opened seven new retail spaces, comprising four department stores, two beauty boutiques, and one M.A.C store-in-store (SIS) location, with total capital expenditure amounting to 39 crore rupees.

The company’s value fashion venture, Intune, generated sales of 72 crore rupees with a festive-adjusted LFL sales growth of 6 percent YoY.

SSL's loyalty initiative, the First Citizen member program, expanded to 14 million members. Customer enrolments for the Black Card tier grew 24 percent YoY, reaching 40,000 members, with a renewal rate of 66 percent. The Black Card segment accounted for 22 percent of total sales during the period.