6 Likes
Read through the concall and I’m absolutely confused on how they’re notiching up 100+ days of receivables when the terms are 7 days for EBOs (COFO & FOFO) and 45 days for LFS. COCO should be 0 days. These 2 channels are >50% of the sales. So I really don’t understand how one can have 100+ days of receivables!
It sounds odd to me but across the board, retail model is FOCO - which is asset light… here this company is trying to do the opposite - what is even the point in owning the stores? what matters to the consumer is experience (CX) which can be adequately controlled via the FOCO model
All of the above perhaps reflect in very cheap valuations.
4 Likes
Anyone here , who would have calculated FY’25 earnings?
Numbers are out.
I kind of liked the numbers for this quarter.
Sort of flat-ish growth in topline, id take that under current economic conditions and as market is valuing the stock currently like a degrowth story.
Okay on front of expenses, margins are good.
Bottom line growth YOY looks decent for this quarter.
I think given the valuations at which the stock is trading, may warrant an attention of a value investor.
Might not be for ones chasing growth or momentum.
I think I’m gonna hold on and wait till next quarter earnings , and hope some rerating happens.
1 Like
Anyone still tracking and might provide a summary of it will be highly beneficial
Tracking but not sure what sort of a summary you want.
My main thesis is on growth bounce back and re-rating of stock… better macro environment should help it in FY26. Let’s see
1 Like
Still holding and liking it even more now at this price.
If company doesn’t have skeltons, it’s a hard bargain to get a consumption stock at such value.
Summary in the sense there is any disruption or growth slowdown or management being conservative in guidance anything on why it is cheap or trading cheap as compared to peers
There’s not much of a moat, its just one in hundreds of mid range premium brand. Is there customer stickiness?
Perhaps Mufti brand users or people who’ve visited their stores can share some anecdotes.
Disc: Exited 2 quarters ago