Stanley Lifestyles high on luxury quotient, raises Rs 161 cr from anchors
Stanley Lifestyles is the fourth-largest player in the home furniture market in India with its presence in super-premium, luxury and ultra-luxury furniture ranges. It is a manufacturing retail company that markets its products under the 'Stanley' brand. The Bengaluru-based company is rolling out a ₹537 crore initial public offer (IPO) comprising a fresh issue of ₹200 crore and an offer for sale of ₹337 crore.
The IPO represents 25% of the post-issue paid capital of the company. The proceeds would be used to open new stores, renovate existing ones and fund capex for new machinery.
Business: Set up in 2007, the company has grown to operate a network of 62 stores across 25 cities in India. As much as 80% of its revenues come from the five southern states It has two manufacturing facilities in Bengaluru, and a mix of company-owned and franchisee-owned formats offering a wide range of customised home solutions such as sofas, wardrobes, kitchen cabinets, and beds, among others. There are three store formats — 'Stanley Level Next', 'Stanley Boutique' and 'Sofas & More by Stanley.' Its products compete with European luxury furniture brands.
Financials & Growth Prospects: The company's revenues have more than doubled from ₹196 crore in FY21 to ₹419 crore in FY23. The net profit sprang from ₹1.9 crore in FY21 to ₹35 crore in FY23. However, for the nine months of FY24, the net profit was ₹19 crore — impacted by seasonality, certain store closures and gestation time for new stores. Its operating profit margin declined
