### **Strategic Business Segments** #### 1. **Ethnic Wear – A Market Leadership Platform** ABFRL owns **India’s largest and most comprehensive organized ethnic wear portfolio**, generating **₹1,956 crore in FY 2024–25**, up 49% YoY. This segment is structured across four price tiers: - **Luxury ($$$$)** – Sabyasachi, Tarun Tahiliani - **Bridge-to-Luxury ($$$)** – Shantnu & Nikhil, House of Masaba - **Premium ($$)** – TASVA, Jaypore, TCNS brands - **Value ($)** – Leverages Pantaloons and Style Up for mass reach **Key Developments (Aug 2025):** - **TASVA**, the premium men’s ethnic wear brand in partnership with Tarun Tahiliani, has achieved **44% YoY growth**, 70 stores, and is on a path to **250+ stores by 2030**. - **TCNS Clothing Co. acquisition** (W, Aurelia, Wishful, Folksong, Elleven) strengthens ABFRL’s dominance in women’s premium ethnic wear. Post-integration, the combined ethnic portfolio exceeds **₹2,000 crore in revenue**. - **Jaypore**, the artisanal craft-led brand, reported **14% YoY revenue growth** and operates 29 stores, combining heritage with modern retail formats. - **Project RISE** is being developed as a **one-stop destination for ethnic wear**, integrating brands to offer comprehensive wardrobe solutions. Ethnic wear represents ~27% of India’s apparel market and is shifting structurally from unorganized tailoring to branded, ready-to-wear formats—positioning ABFRL for sustained long-term growth. --- #### 2. **Luxury & Super Premium – Redefining Indian Luxury** ABFRL is a leader in the rapidly expanding Indian luxury fashion market, where rising disposable incomes and evolving tastes are driving demand. **Key Brands & Initiatives:** - **The Collective** – India’s largest multi-brand luxury retailer with 41+ stores and a growing e-commerce platform **(thecollective.in)**. It curates over **85 global luxury and bridge-to-luxury brands** including Ralph Lauren, Fred Perry, Ted Baker, and Hackett. - **Galeries Lafayette Partnership** – A landmark collaboration to launch **India’s first luxury department store** in Mumbai and Delhi, offering a world-class omnichannel experience. - **Sabyasachi** – Achieved **solid double-digit profitability in FY25**, with expanded global retail presence in New York and Dubai. Launched western wear and accessories to mark its 25th anniversary. - **Designer Brands Growth** – The portfolio (Sabyasachi, Shantnu & Nikhil, Tarun Tahiliani, House of Masaba) grew **35% YoY in FY 2024–25**, with nearly **20% EBITDA margins**, making them aspirational fashion houses. --- #### 3. **Digital-First Brands – TMRW: The Future of Fashion** **TMRW**, launched in **April 2022**, is ABFRL’s dedicated 'House of Brands' platform focused on **Gen Z and Millennials**. It builds and scales digital-native D2C fashion and lifestyle brands using **data science, AI, and centralized brand-building capabilities**. **Growth Highlights (Aug 2025):** - Achieved **55% YoY revenue growth in FY25**, driven by new product lines and marketing. - Expanded to **16 physical stores (TIGC, Nobero, Bewakoof)** across 7 cities. - Acquired a **minority stake in WROGN**, deepening its presence in youth-centric menswear. - Portfolio includes **Bewakoof, Nobero, The Indian Garage Co. (TIGC), Lovechild (Masaba)**, targeting athleisure, expressive wear, and personal care. TMRW operates as a **tech-led brand builder**, using a platform model to co-create with founders, optimize supply chains, and drive sustainable unit economics. It is positioned to be **India’s leading digital-first fashion platform**, with plans to raise **external capital to fuel expansion**. --- #### 4. **Masstige & Value Retail – Aspirational Fashion for the Masses** This segment targets value-conscious, aspirational consumers across urban and semi-urban India through two key vehicles: **Pantaloons:** - India’s leading **“masstige” retail brand** (mass + prestige), operating over **450 stores**. - Rebranded with **upgraded aesthetics, private labels, and enhanced in-store experience**. - Drives over **₹4,300 crore in revenue (FY24)** with improved margins. - Leverages **Pantaloons.com** and **Greencard loyalty program** (16M+ members) for omnichannel engagement. **Style Up:** - Value fashion brand targeting **Gen Z and young adults** with trendy wear under ₹799. - Delivered **~70% YoY growth in FY 2024–25**, with **27 stores (Sep 2024) to 46 stores (Mar 2025)**. - Follows a **compact store format** with scalable operations and backend integration with Pantaloons. - Plans **aggressive expansion into Tier II/III towns** to capture the fragmented value fashion market. --- #### 5. **Lifestyle & Youth Western Wear (ABLBL Focus)** Post-demerger, ABLBL owns high-margin, cash-generating western wear and youth fashion brands: - **Van Heusen Innerwear & Athleisure** – Available in **36,500+ trade outlets**, 100+ EBOs; known for innovations like **Air Series (breathable fabrics)**. - **Reebok India** – Revenue **tripled YoY**, with 161+ EBOs; investing heavily in **performance tech** and Indian sports. - **American Eagle** – Focused on premium denim and large-format store rollouts. - **Forever 21** – Restructured for long-term viability with refreshed sourcing and store optimization. ABLBL targets **doubling size in 5 years**, **debt-free status within 2–3 years**, and becoming a **dividend-paying entity via strong FCF**. --- ### **Strategic Enablers** #### **Omnichannel & Digital Transformation** - Over **50% of stores are omnichannel-enabled**, supported by **Buy Online, Ship from Store (BOSS)** and **hyperlocal delivery (Express Delivery)** via the **Super App**. - E-commerce revenue crossed **₹1,900 crore in FY 2024–25 (14% YoY growth)**. - **AI-powered tools** for personalized search, demand forecasting, and CRM (e.g., Sabyasachi’s AI-driven client engagement). - Launched mobile apps for **Tasva, Jaypore, Shantnu Nikhil**, and a **Super App** integrating 8 ABLBL brands. #### **Sustainability & Innovation** - Partner with **Circular Apparel Innovation Factory (CAIF)** and **GIZ’s develoPPP** for circular fashion. - In-house **Centres of Excellence** in Technology, Garment Engineering, and Knowledge Management. - **1,636 trademarks**, 19 patents, and **CLO 3D** virtual sampling to reduce waste and accelerate design. #### **Supply Chain & Distribution** - Vertically integrated supply chain with **10 domestic manufacturing units**. - Serves **over 37,000 multi-brand outlets** nationwide. - Strategic expansion into **Tier II/III/IV towns** using **asset-light franchise models** (e.g., Peter England Red, Allen Solly Prime). --- ### **Financial Strength & Capital Strategy** - **Demerged ABFRL** raised **₹4,239 crore** via QIP and preferential issue (Apr 2025). - Gross cash balance: **₹2,350 crore** post-demerger. - Capital allocation strategy: Invest in **emerging brands** while maintaining profitability of mature platforms. ---