Purple United

- The company is currently in discussions for a new fundraising round targeting growth capital. - The fundraising process is expected to take 3 to 5 months, involving approvals from exchanges or shareholders. - The raised funds will be primarily used for opening approximately 100 new stores in FY27. - Around 60-70% of the raised funds will be allocated to CAPEX for new stores. - About 30% will be used for working capital, with the remaining portion allocated to marketing activities and general corporate purposes. - There is uncertainty regarding the need for additional fundraising 18 to 20 months after this round, depending on future growth and cash flow. - Fundraising is planned through either debt or equity, with specifics depending on the route chosen and timing.

- Plan to add approximately 100 new stores by FY27, with major expenses on CAPEX and working capital for these stores. - Around 60-70% of raised funds are expected to be used for CAPEX related to new store expansion. - Additional funds allocated for general corporate purposes, marketing activities, and website promotion. - Exploring and planning technology and operational investments, including discussions to implement merchandising planning software for better inventory and merchandise management. - Currently using a domestic ERP with real-time dashboards; considering migrating to SAP or similar platforms once a significant topline is reached. - Testing and expansion in FOCO (Franchise-Owned Company-Owned) model for better scalability. - Cautious approach to overseas expansion; potential future investments if domestic expansion reaches a certain scale. - Investments in senior-level hiring and ESOP schemes to strengthen the team.

- Mature stores expect a year-on-year growth of 16% to 18%, potentially up to 20%. - Mature stores currently generate about ₹10 lakhs per month (~₹1 crore annually). - Sales per square foot for mature stores is approximately ₹900, with potential to increase to ₹1,400-1,600. - Same-store sales can grow significantly over time; for instance, a store with ₹1 crore in sales can scale to ₹1.5-1.75 crore. - Retail (D2C) contribution is expected to grow from ~40% in H1 FY26 to ~50% by year-end, targeting 60-65% by FY27. - Company aims to open 100+ new stores if growth capital aligns; longer term possibility of 500-600 stores by FY30 is open. - Overall industry entering an exciting growth phase, driven by increasing disposable income and nuclear family trends.

- Mature stores expected to grow 16-20% YoY in revenue. - Same-store sales potential: Current ₹1 crore sales can increase to ₹1.5-1.75 crore with scale and optimization. - FY27 growth guidance not explicitly given; dependent on successful fundraising and expansion (100+ new stores possible). - Margin impact in short term due to hiring and marketing but expected to improve long-term with scale. - EBITDA margin around 21%, PAT margin about 8.3% in recent periods. - Expansion plans (up to 500-600 stores by FY2030) could drive substantial growth. - Increasing retail scale expected to improve margins and cash flows. - Indian kids fashion market entering an exciting growth phase, company well poised to capitalize on this. - EPS growth implied via improving revenues and margins, though exact numbers not disclosed.

- Current D2C orders are in the pilot stage with a target of around 500 to 1,000 orders per day, as per Mr. JD Seth's conservative estimate. - They aim to reach approximately 400 to 500 daily orders through their revamped website (PurpleUnited.com). - The marketplace channel currently generates around 7 to 8 pieces per day per style after launching NOS (never out-of-stock) styles, gradually increasing color variants based on demand. - The D2C channel has been operational for about one month, hence exact return transaction data is limited. - They are focusing on improving same-day delivery via quick-commerce through partnerships and strategic inventory placement, but full deployment is still under consideration. - Overall, the orderbook is in the early stages of development but shows progressive scaling with cautious, conservative targets.