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Relaxo Footwears Ltd

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BSE Code : 530517 | NSE Symbol : RELAXO | ISIN : INE131B01039 | Industry : Leather |


Chairman's Speech

Dear Stakeholders,

I am pleased to share that despite challenging market conditions and dampened consumer sentiments, your company has achieved a revenue of '2914 Crores with a growth of 5%, over the previous year. The company's EBITDA grew to '407 Crores with a growth of 21% over last year and PAT grew to '200 Crores with a growth of 30%. In line with our commitment to shareholders, your Board of Direc- tors has recommended a final dividend of 300%, which translates to '3.00 per fully paid-up equity share of '1/- each for FY24.

We would also like to highlight that throughout the year, your company has taken several key initiatives which reflects the commitment towards improvement and excellence. The successful stabilization of our IT ERP (Enterprise Resource Planning) system-S4HANA has helped align our manufacturing, distribution, and retail operations onto a unified platform, thereby enhancing overall efficiency.

This year, your company has launched The 'Relaxo Parivaar' mobile application, our retail outreach program that will further improve our connect with retailers. This tech-driven platform will help our retail partners with timely information about the company and other benefits.

Quality assurance has remained a top priority for us and we implemented BIS Quality Control Orders, ensuring that all products are ISI marked. This initiative has significantly enhanced the company's credibility and strengthened customer trust, reinforcing our commitment to delivering high-quality products.

The company's persistent efforts to make distribution channels more robust and introduce new product lines have resulted in a notable upsurge in export figures. This unwavering commitment has merited the company the esteemed '3 Star Export House' status, cementing its dedication towards delivering high-quality products across international markets.

Your company has also taken multiple initiatives to strengthen the digital landscape, with a clear focus on leveraging this space to connect with the audiences, enhance brand equity, and drive sales performance in FY24. By embracing the latest digital technologies, your company is well-positioned to expand its reach beyond geographical boundaries, showcase our latest product range, and cater to the new generation of consumers. We believe, this future-looking strategy will contribute to the company's continued success, as it remains at the forefront of innovation in the industry.

This year, we have also launched our direct selling model on e-commerce platforms; 'Brand as a Seller (BAS)' which has significantly improved our connect with the consumers. Furthermore, we have enhanced regional logistics by utilizing multiple warehouses, ensuring faster and efficient delivery of our products.

To cater to the ever-changing trends in the consumer buying behaviour, we have been proactively engaging in various market-sensing exercises and we have upgraded our technological infrastructure. This will help the company to address the evolving needs of the market.

Our manufacturing facilities have implemented the 5S methodology for workforce management aimed at enhancing and sustaining an organized work environment. We are pleased to announce that all of our facilities have achieved a commendable 3S standard by QCFI in February 2024, underscoring our unwavering commitment to operational excellence and continuous improvement.

Your company has continuously adapted to the changing consumer needs, with a particular focus on their preferences. By closely monitoring these preferences, we are well-prepared to capitalize on emerging opportunities and confident that our efforts will continue to yield positive results.

We are immensely grateful to all our Customers, Business Partners, Board of Directors, Bankers, Employees, and other Stakeholders for their unwavering support and belief in our company. We look forward to continuing this journey together and creating a brighter future ahead.

With Best Regards,

Ramesh Kumar Dua

Chairman & Managing Director