Spencer's Retail Eyes Financial Turnaround with Strategic Expansion and Fundraising

Spencer’s Retail Ltd, part of RP Sanjiv Goenka Group, is exploring fundraising opportunities post-breakeven to enhance valuations and reduce debt. The company focuses on strengthening existing markets, exiting unprofitable regions, and boosting its quick commerce operations to optimize growth and improve financial performance.

Spencer's Retail Ltd, a part of the RP Sanjiv Goenka Group, has announced plans to explore fundraising opportunities after achieving operational breakeven. The retail chain aims to enhance valuations and reduce its consolidated debt, which stood at Rs 883 crore at the end of the third quarter, according to a company official.

The company has secured board approval for prospective fundraising strategies and is open to introducing new investors. Post-earning calls highlighted the management's focus on demonstrating consistent financial performance to bolster investor confidence. Spencer's Retail reported narrowing its net loss to Rs 47.34 crore for the third quarter of the fiscal year ending December 2024.

The retail chain is undertaking a strategic expansion plan, optimizing operations by strengthening its presence in profitable regions while exiting unprofitable sectors like South India and NCR. It has also forayed into the quick commerce space with an aim to drive growth through increased sales per square foot and operational efficiency.

(With inputs from agencies.)