Aditya Birla Lifestyle Brands Ltd

- No fresh borrowing is planned; however, the company intends to raise nearly INR 500 crores through Non-Convertible Debentures (NCDs) to refinance the existing debentures repaid recently in January—this is a debt refinancing, not new debt. - The management has indicated no plans for equity fundraise post-demerger, except for the "tomorrow business." - The company's focus remains on reducing net debt, targeting to bring net debt closer to zero over the next three years. - Capex plans remain significant (INR 320-330 crores this year), primarily funded through internal accruals and refinancing, without new borrowings.

- FY26 capex is expected to be north of INR 300 crores, around INR 320-330 crores, primarily focused on Lifestyle Brands (80%+ of total capex). - Significant portion of capex is allocated to store expansions, renovations, and upgrading existing stores including larger formats and stronger shop facades. - Emerging brands currently require lower capex due to smaller base but are expected to scale up, potentially needing more capex as they grow. - Management indicated a strong store addition pipeline: ~150 net stores expected for FY26 with 120+ planned for next year, supported by a pipeline of 300 identified locations. - INR 500 crores NCD issuance approved for refinancing existing debentures, not for fresh borrowing. - Focus on disciplined investment to sustain steady double-digit growth and profitability. - Emerging brands are projected to become one-fourth of total business in 4-5 years, implying further strategic capital deployment.

- The company aims for a steady 12% growth in overall business, with innerwear and emerging brands playing a large role due to their smaller base and faster scalability. - Lifestyle Brands are expected to achieve 6%-7% like-for-like sales growth annually. - Network expansion will drive an additional 5%-6% growth; plans include adding around 200 stores per year with at least 3-4 years of growth headroom. - For Reebok, there is significant room for aggressive network expansion, targeting 230+ stores by year-end with potential for even larger network size than established brands. - Innerwear is projected to turn profitable by FY ‘28, with expectations of mid-single-digit margins in 2 years and significant retail network scaling through distributor-driven channels. - Overall, product quality, replenishment predictability, and geographic market expansion are key levers for sustained growth.

- American Eagle expected to grow steadily with double-digit growth and consistent profitability. - Reebok poised for very aggressive growth with exponential expansion in product categories and markets, leading to stronger profitability. - Innerwear business aims to turn profitable by FY ‘28, with losses halved currently and improved selling expense efficiencies. - Emerging brands targeted for a 12% steady-state growth, with significant network expansion potential beyond Lifestyle Brands. - Lifestyle Brands expect steady double-digit retail growth and sustained EBITDA margin expansion (~11%-12% pre-Ind AS). - Overall margin expansion driven by cost reductions (product, supply chain), better expense leverage, and improved inventory health. - Network additions forecasted at 200+ stores annually in Lifestyle brands; even higher expansion potential for youth and Innerwear categories. - Long-term value creation expected through disciplined execution, sustained retail growth, and expansion of emerging brands constituting 25% of business in 4-5 years.

The transcript from the Q3 FY26 earnings call of Aditya Birla Lifestyle Brands Limited does not explicitly mention any details regarding a current or expected order book or pending orders. The discussion primarily focuses on: - Sales performance and channel replenishment strategies. - Retail store additions and expansion plans (approx. 150 net store additions expected in FY27 and a pipeline of ~300 locations identified for future expansion). - Growth in Innerwear and Lifestyle Brands segments. - Investment in capex (~INR 320-330 crores for the year) largely towards store expansions and renovations. - Focus on replenishment predictability and consumer demand. No specific quantitative data or commentary on order backlog or pending orders is provided in the transcript.