Pernia's Pop-Up Shop FY25: Loss Surges 3X YoY To INR 189 Cr

SUMMARY

As per its DRHP, Pernia's Pop-Up Shop saw its losses balloon by 295% in FY25 to INR 188.6 Cr from INR 47.7 Cr

Meanwhile, its top line shrink in FY25 by 3% to INR 490 Cr from INR 504.4 Cr operating revenue reported in FY24

The company's loss surged on account of an exceptional item expense of INR 122.8 Cr in the fiscal year

IPO-bound Pernia’s Pop-Up Shop parent Purple Style Labs plunged deeper into loss in the run up to filing its draft red herring prospectus with the markets regulator SEBI.

The company’s draft IPO papers reveal that its loss surged by more than 295% in the fiscal year FY25 to INR 188.6 Cr from INR 47.7 Cr loss incurred in the prior fiscal.

Meanwhile, the premium house of brands company also saw its top line shrink in FY25 by 3% to INR 490 Cr from INR 504.4 Cr operating revenue reported in FY24. In this, its sales of goods declined slightly (about 1% YoY) to INR 483.4 Cr. The sale of services had a more pronounced decline of 59% to INR 6.5 Cr from INR 15.5 Cr in FY24.

Including an other income of INR 4.1 Cr, Purple Style Labs’ total income for the fiscal declined 3% YoY to INR 494 Cr.

Important to mention that the company’s loss shot up because of an exceptional item expense of INR 122.8 Cr in the fiscal year. This pertains to the grant of ESOPs granted to its employees in the fiscal year. During the year ended March 31, 2025, the company granted 1,200 ESOPs to its whole time director and CBO Abhinav Agarwal under ESOP 2024.

Excluding this figure, the company would have reported a loss before tax of INR 65.8 Cr. This would still have been a 40% spike from INR 47.7 Cr loss incurred in the previous year.

Pernia’s EBITDA Improves

Despite the zooming loss, Purple Style Lab’s EBITDA for the fiscal stood at INR 42 Cr, up 33% from INR 31.6 Cr in FY24. EBITDA margin for the fiscal also grew to 8.57% from 6.27% in the previous year.

On the expenses front, the company spent INR 559.8 Cr in the fiscal year, up slightly from INR 557.7 Cr spent in FY24. In this, the largest expense of INR 302.6 Cr was the purchase of stock-in-trade. This expense was curtailed 15% YoY.

While employee benefit expenses surged 13% YoY to INR 66.2 Cr, its sales and marketing spends slumped 39% YoY to INR 33.2 Cr.

Founded in 2015 by Abhishek Agarwal, Purple Style Labs is an omnichannel luxury fashion house that counts Indian designer brands like Pernia’s Pop Up Studio & Shop, Wendell Rodricks, Hemant Trevedi in its portfolio.

After receiving its board’s nod to undertake an IPO with a fresh issue size of INR 750 Cr in August, Purple Style Labs filed its DRHP with the SEBI today to raise INR 660 Cr from its public issue.

The company plans to utilise INR 363.3 Cr from the fresh issue to expand its lease liabilities for new and existing experience centers as well as setting up new backend offices across India. Further, it has earmarked INR 128 Cr raised from the IPO for sales and marketing initiatives.