Spencer’s Retail to expand range and add apparels

Spencer's Retail will soon launch an apparel line. The thinking is that apparel contributes a much higher margin than food. Its own brands cover a lot of articles in the food space, including rice, pulses etc. The multi-format retailer has been taking a string of measures to improve its performance. Spencer's average revenue per square feet per month was Rs 1,740 in December quarter up from Rs 1,452 during last fiscal. The expectation is that Spencer's will turn profitable after tax by next fiscal year. The firm’s gross revenue stood at Rs 1,865 crores at the end of last financial year while Ebitda was at negative Rs 53 crores.

The retailer opened six stores in the October-December quarter and plans to open one before the end of this current fiscal. Spencer’s Retail, part of the RP Sanjiv Goenka Group, is a multi-format retailer providing a wide range of products across categories such as food, personal care, fashion, home essentials, electrical and electronics.