Reliance’s lifestyle brands endured a tough FY24
₹2,302.97 in FY24, RBL’s losses widened by 55% to ₹288.4 crore from last year's ₹185.16 crore. The increase in sales did not translate into profitability for brands like Diesel Fashion India and Paul & Shark which RBL controls. RBL began operations in 2007 and has a portfolio of brand partnerships comprising Dune, Hamleys, Pottery Barn, Tory Burch and West Elm.
Across the spectrum, Reliance has a controlling stake in about 50 international brands which are either in the luxury domain or the affordable or entry segment. It also works with over half a dozen designers like Rahul Mishra, Manish Malhotra, Anamika Khanna, Abraham & Thakore, Abu Jani and Sandeep Khosla as well as Ritu Kumar, among others. After a very strong FY22, when India came out of the pandemic and shoppers stampeded out to buy fashion and luxury articles, a consumption slowdown in 2023 meant reduced discretionary spending.
In fact, most of Reliance’s designer brands reported losses in the year gone by. While designer duo Abu Jani and Sandeep Khosla showed profitability, other designer brands under its portfolio struggled, reflecting a challenging environment in the luxury fashion sector. Reliance A&T Fashions Pvt.
Ltd, operating the brand for designer duo Abraham & Thakore, saw some decline in revenue to ₹5.99 crore and a net loss of ₹8 crore in FY24. It had recorded a loss of ₹3.75 crore in FY23. It did not report any revenue last year when it was acquired by Reliance.
Similarly, Purple Panda Fashions Ltd, which sells lingerie under the Clovia brand, reported a revenue of ₹262.93 crore, lower than ₹295.51 crore in FY23. However, losses narrowed to ₹28.53 crore from ₹80.93 crore in FY23. Genesis Colors Ltd, which sells brands like Paul Smith and Bottega
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