{"id":129543,"date":"2022-05-16T07:27:05","date_gmt":"2022-05-16T11:27:05","guid":{"rendered":"https:\/\/44.250.171.167\/?p=129543"},"modified":"2022-10-06T03:24:07","modified_gmt":"2022-10-06T07:24:07","slug":"relaxo-footwears-limited-q4-fy22-earnings-conference-call-insights","status":"publish","type":"post","link":"https:\/\/alphastreet.com\/india\/relaxo-footwears-limited-q4-fy22-earnings-conference-call-insights\/","title":{"rendered":"Relaxo Footwears Limited Q4 FY22 Earnings Conference Call Insights"},"content":{"rendered":"<p><iframe loading=\"lazy\" title=\"Relaxo Footwears Limited Q4 FY22 Earnings Concall\" width=\"500\" height=\"375\" src=\"https:\/\/www.youtube.com\/embed\/HnvXYkkBaQE?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/p>\n<p><strong>Key highlights from Relaxo Footwears Limited (<a href=\"https:\/\/44.250.171.167\/symbol\/RELAXO\/\">RELAXO<\/a>) Q4 FY22 Earnings Concall<\/strong><\/p>\n<p><strong>Q&amp;A Highlights:<\/strong><\/p>\n<ul>\n<li>Tejas Shah with Spark Capital asked about the realization split increase which has happened between price increase and premiumization during FY22 and 4Q22. Ramesh Dua MD replied that price increase was in the range of 25% across all the categories, in few categories more and few categories less.<\/li>\n<\/ul>\n<ul>\n<li>Tejas Shah with Spark Capital asked about Sparx brand in ecommerce platforms. Gaurav Dua EVP Marketing said that Sparx brand has done very well in e-commerce platform; the growth rate was more than 40%. So there is a traction of sports shoe selling more on e-comm.<\/li>\n<\/ul>\n<ul>\n<li>Tejas Shah with Spark Capital also asked about the total exposure of online as a channel for the company. Gaurav Dua EVP Marketing replied that RELAXO\u2019s total exposure was around 10% last year and now it\u2019s 11.5%.<\/li>\n<\/ul>\n<ul>\n<li>Gaurav Jogani with Axis Capital asked if the bulk of the RM inflation is done or does the company need to take further price increases. Ramesh Dua MD clarified that raw material situation continues to remain unpredictable. So things are not stabilized yet. RELAXO will have to be watchful of it and act accordingly.<\/li>\n<\/ul>\n<ul>\n<li>Gaurav Jogani with Axis Capital enquired about volume trajectory going ahead in the light of the sharp RM inflation. Gaurav Dua EVP Marketing replied that there have been pressure on volume. It\u2019s difficult to say right now because supply chain things and raw material prices are not settled. But RELAXO is hoping that 2Q onwards it can see some recovery.<\/li>\n<\/ul>\n<ul>\n<li>Bharat Chhoda with ICICI Securities asked the reason for having higher working capital cycle in 4Q. Ramesh Dua MD answered that it was due to pressure on the sale. So inventory increased abnormally more than expected due to pressure on sale and prices.<\/li>\n<\/ul>\n<ul>\n<li>Bharat Chhoda with ICICI Securities asked about the volumes going ahead and the margin outlook at current level of prices. Ritesh Dua EVP Finance said that FY22 was a little tough year comparatively and FY21 was the best year. RELAXO is hopeful that FY20 margins of 17% are definitely achievable.<\/li>\n<\/ul>\n<ul>\n<li>Mythili Balakrishnan with Alchemy Capital asked about the mix between different brands, Sparx, Bahamas, Flite, and the normal Hawaii. Gaurav Dua EVP Marketing said RELAXO is doing Hawaii and Bahamas under Hawaii division. So that is around 25%. And Flite is 37.5% and similarly is Sparx, 37.5%.<\/li>\n<\/ul>\n<ul>\n<li>Mythili Balakrishnan with Alchemy Capital also asked that within Sparx, if the portfolio of 60% sandals and the rest 40% shoes changed in terms of the mix. Gaurav Dua EVP Marketing clarified that now it has changed. And now it is 60% shoes and 40% sandals.<\/li>\n<\/ul>\n<ul>\n<li>Mythili Balakrishnan with Alchemy Capital enquired about the distributor and channel mix for RELAXO currently. Gaurav Dua EVP Marketing replied that RELAXO has around 650-680 distributors, and online contribute around 11.5% of sales, 7% is contributed by retail, and 4% by exports.<\/li>\n<\/ul>\n<ul>\n<li>Mythili Balakrishnan from Alchemy Capital asked about capex plans and if there is larger capex spend on the cards given RELAXO\u2019s plans to venture into south etc. Ramesh Dua MD said RELAXO does not have any intent to spending in south, but are expanding the capacity in north. So RELAXO is integrating its backend operations. In FY23, RELAXO intends to spend around INR100 crore.<\/li>\n<\/ul>\n<ul>\n<li>Manish Poddar of Motilal Oswal asked that in terms of SKUs, how many articles does RELAXO has and the addition on a YoY basis. Gaurav Dua EVP Marketing answered that RELAXO has 400 articles and SKUs are 12,257. And it ranges from 10,000-12,000.<\/li>\n<\/ul>\n<ul>\n<li>Ashish Kanodia with Ambit Capital enquired that in terms of volumes, what\u2019s the capacity addition plan for the next two years. Ramesh Dua MD answered that the company has already reached a capacity of 1,000,000 pairs per day and utilization is around 65%. And within this category, RELAXO is focusing to increase some capacity of whatever is required in shoe division.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Key highlights from Relaxo Footwears Limited (RELAXO) Q4 FY22 Earnings Concall Q&amp;A Highlights: Tejas Shah with Spark Capital asked about the realization split increase which has happened between price increase and premiumization during FY22 and 4Q22. Ramesh Dua MD replied that price increase was in the range of 25% across all the categories, in few [&hellip;]<\/p>\n","protected":false},"author":1767,"featured_media":125416,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[9825,6351,392,12],"tags":[143],"class_list":["post-129543","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-earnings-call-highlights","category-consumer-stocks","category-earnings","category-other-industries","tag-footwear"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/alphastreet.com\/india\/wp-content\/uploads\/2021\/11\/Earnings-Coverage.jpg","jetpack_likes_enabled":false,"jetpack-related-posts":[{"id":142860,"url":"https:\/\/alphastreet.com\/india\/relaxo-footwears-limited-q3fy23-earnings\/","url_meta":{"origin":129543,"position":0},"title":"Relaxo Footwears Limited Q3FY23 Earnings","author":"Karan_Singh","date":"February 27, 2023","format":false,"excerpt":"The largest footwear manufacturer in India, Relaxo Footwears Ltd, specialises in non-leather items such as kinds of footwear. 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It is also the leader in 'value' segment footwear. It has a portfolio of renowned brands like Relaxo, Sparx,\u2026","rel":"","context":"In &quot;AlphaGraphs&quot;","block_context":{"text":"AlphaGraphs","link":"https:\/\/alphastreet.com\/india\/category\/infographics\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2024\/08\/image-144.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2024\/08\/image-144.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2024\/08\/image-144.png?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2024\/08\/image-144.png?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2024\/08\/image-144.png?resize=1050%2C600&ssl=1 3x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2024\/08\/image-144.png?resize=1400%2C800&ssl=1 4x"},"classes":[]},{"id":161010,"url":"https:\/\/alphastreet.com\/india\/relaxo-footwears-ltd-q4fy24-3-fall-in-profits\/","url_meta":{"origin":129543,"position":2},"title":"Relaxo Footwears Ltd Q4FY24; 3% fall in Profits","author":"Chirag Gupta","date":"May 9, 2024","format":false,"excerpt":"Relaxo Footwears Limited is the largest footwear manufacturing company in India, which deals in non-leather products i.e. rubber\/EVA slippers, canvas shoes, sport shoes, sandals, school shoes and other types of footwear. 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(NSE: RELAXO) Q4 FY22 Earnings Concall dated May. 13, 2022 Corporate Participants: Akhil Parekh\u00a0--\u00a0Analyst Ramesh Kumar Dua\u00a0--\u00a0Managing Director Gaurav Dua\u00a0--\u00a0Executive Vice President - Marketing Analysts: Tejas Shah\u00a0--\u00a0Spark Capital Advisors (India) Private Limited -- Analyst Gaurav Jogani\u00a0--\u00a0Axis Capital Ltd. -- Analyst Bharat Chhoda\u00a0--\u00a0ICICI Securities Ltd. -- Analyst Mythili\u2026","rel":"","context":"In &quot;Earnings Call Transcripts&quot;","block_context":{"text":"Earnings Call Transcripts","link":"https:\/\/alphastreet.com\/india\/category\/transcripts\/"},"img":{"alt_text":"stock earnings conference call transcript","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2020\/02\/EarningsTranscript.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2020\/02\/EarningsTranscript.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2020\/02\/EarningsTranscript.jpg?resize=525%2C300&ssl=1 1.5x"},"classes":[]},{"id":145661,"url":"https:\/\/alphastreet.com\/india\/relaxo-footwear-ltd-q4fy23-results-out-revenue-declines-by-15\/","url_meta":{"origin":129543,"position":4},"title":"Relaxo Footwear Ltd Q4FY23 results out, revenue declines by 15%","author":"Chirag Gupta","date":"May 10, 2023","format":false,"excerpt":"Relaxo Footwears Limited is the largest footwear manufacturing company in India, which deals in non-leather products i.e. rubber\/EVA slippers, canvas shoes, sport shoes, sandals, school shoes and other types of footwear. It is also the leader in 'value' segment footwear. It has a portfolio of renowned brands like Relaxo, Sparx,\u2026","rel":"","context":"In &quot;Earnings&quot;","block_context":{"text":"Earnings","link":"https:\/\/alphastreet.com\/india\/category\/earnings\/"},"img":{"alt_text":"earnings preview","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2019\/04\/Earnings-preview-1.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2019\/04\/Earnings-preview-1.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2019\/04\/Earnings-preview-1.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2019\/04\/Earnings-preview-1.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2019\/04\/Earnings-preview-1.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":169592,"url":"https:\/\/alphastreet.com\/india\/relaxo-footwears-ltd-q1-fy26-earnings-results-11-rise-in-profits\/","url_meta":{"origin":129543,"position":5},"title":"Relaxo Footwears Ltd Q1 FY26 Earnings Results &#8211; 11% rise in Profits","author":"Chirag Gupta","date":"July 31, 2025","format":false,"excerpt":"Relaxo Footwears Limited is the largest footwear manufacturing company in India, which deals in non leather products i.e. rubber\/EVA slippers, canvas shoes, sport shoes, sandals, school shoes and other types of footwear. It is also the leader in 'value' segment footwear. It has a portfolio of renowned brands like Relaxo,\u2026","rel":"","context":"In &quot;AlphaGraphs&quot;","block_context":{"text":"AlphaGraphs","link":"https:\/\/alphastreet.com\/india\/category\/infographics\/"},"img":{"alt_text":"Relaxo Footwear Q1 FY26 Earnings Results","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2025\/07\/1-18.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2025\/07\/1-18.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2025\/07\/1-18.png?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2025\/07\/1-18.png?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2025\/07\/1-18.png?resize=1050%2C600&ssl=1 3x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2025\/07\/1-18.png?resize=1400%2C800&ssl=1 4x"},"classes":[]}],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/posts\/129543","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/users\/1767"}],"replies":[{"embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/comments?post=129543"}],"version-history":[{"count":0,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/posts\/129543\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/media\/125416"}],"wp:attachment":[{"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/media?parent=129543"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/categories?post=129543"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/alphastreet.com\/india\/wp-json\/wp\/v2\/tags?post=129543"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}