Wakefit adds 27 stores as June-quarter profit climbs 19%
Wakefit’s June-quarter revenue rose 16.6% year on year to Rs 404.9 crore, while PAT increased 19.2% to Rs 23.4 crore. The home retailer reached 165 company-owned stores after adding 27 and plans nearly 80 more in FY27, allocating about 80% of Rs 100-120 crore capex to retail expansion.
What happened
Wakefit reported higher June-quarter revenue, profit and margins, supported by own-channel growth and price hikes. It added 27 company-owned stores, reaching
Key facts
- Revenue from operations: Rs 404.9 crore, up 16.6% YoY
- Profit after tax: Rs 23.4 crore, up 19.2% YoY
- Deferred tax charge: Rs 7.3 crore
- Reported EBITDA: Rs 56.4 crore, up 25.2% YoY
- Reported EBITDA margin: 13.9%, versus 13%
- Operating EBITDA: Rs 36.8 crore, up 49.7% YoY
- Gross profit: Rs 231.1 crore
- Gross margin: 57.1%, versus 55.8%
- Mattresses: 65.9% of sales
- Furniture: 27.8% of sales
- Furnishings: 6.3% of sales
- Own channels: 72.3% of revenue, up 20.5% YoY
- External channels growth: 7.6% YoY
- Repeat customers: 36.7% of revenue
- Mattress business growth: 27.3% YoY
- Company-owned stores added: 27
- Total company-owned stores: 165
- Multi-brand outlet network: 2,250 stores across 701 cities
- FY27 target: nearly 80 company-owned store additions
- Planned FY27 capex: Rs 100 crore-Rs 120 crore
- Retail expansion share of capex: about 80%
Why this matters
Wakefit’s aggressive company-owned retail rollout, with roughly 80% of planned capex directed to stores, makes high-quality retail real estate, regional logistics capabilities and complementary home-category partnerships increasingly strategic targets.
What to watch
- Quarterly same-store sales growth and revenue per store after the 27-store addition.
- Gross margin, EBITDA/PAT margin and operating cash flow as the new-store cohort matures.
- Capex deployment versus the stated Rs 100-120 crore range and the proportion actually directed to retail.
- Store-opening cadence toward the nearly 80 FY27 target, including metro versus tier-2/3 city mix.
- Inventory days, fulfilment lead times, returns and installation-service complaints.
- Evidence of furniture/category mix expansion versus a sales mix still dominated by mattresses.
- Prioritize stores in high-intent residential catchments where mattresses, sofas and furnishings can be sold as bundled room solutions.
- Use the physical network as an omnichannel service layer for assisted ordering, exchanges, delivery assurance and lower-cost customer acquisition.
- Increase localized marketing and store-level assortment planning, especially for regional preferences in furniture sizes, materials and price points.
- Track new-store payback closely and reallocate FY27 capex toward formats and cities with the strongest conversion and repeat demand.
- Build supply-chain and installation capacity ahead of the rollout to prevent delivery delays from eroding store-led demand.