Stanley Lifestyles (STANLEY) Q4 24/25 earnings summary

Executive summary

• Achieved consolidated revenue from operations of ₹4,262 million for FY25, with net profit of ₹292 million, reflecting stable year-over-year performance and 8.5% full-year growth, driven by premium and luxury furniture demand in urban centers.

• Successful IPO in June 2024 raised ₹1,810.85 million (net of expenses), strengthening the financial base for strategic expansion in the premium and luxury home interior market.

• COCO retail business remains the key driver, growing 12.7% quarter-on-quarter and contributing 61% of total revenue, with 68 stores across India (44 COCO, 24 FOFO).

• The group comprises the parent and six subsidiaries, all consolidated in the results.

Financial highlights

• Gross margin improved by 237 basis points to 56.3% in FY25 from 53.9% in FY24, attributed to localization and manufacturing efficiency.

• FY25 EBITDA was ₹818 million (19.2% margin), down 3.7% YoY; PAT stood at ₹292 million (6.8% margin), nearly flat YoY.

• Basic EPS for FY25 was ₹5.22, down from ₹5.83 in FY24.

• Cash and cash equivalents at year-end stood at ₹1,401 million, up from ₹526 million in FY24.

• Inventory days reduced to 15 in FY25 from 18 in FY24; trade receivables days down to 214 from 241.

Outlook and guidance

• Targeting INR 1,000 crores in revenue with 12%-15% PAT over the next three years, with a measured approach to expansion and 15 new stores planned in FY26.

• B2B business expected to remain flat in FY26, with growth resuming in B2B2C by Q3 FY26 as channel partners adjust.

• Monitoring premium/luxury residential real estate handovers for demand recovery; distribution business expected to regain momentum by Q3 FY26.

• Anticipates 20%-30% annual growth in B2B over the medium term, selectively targeting premium and luxury segments.

• Unutilized IPO funds as of March 31, 2025, were ₹1,250 million, indicating ongoing investment plans.