D’Decor crosses Rs 800 Cr revenue in FY24; profits spike 20%

Entrackr · 9d

D’Decor’s revenue from operations recorded a 4.2% year-on-year increase to Rs 816 crore in FY24 from Rs 783 crore in FY23, its consolidated financial statements sourced from the Registrar of Companies (RoC) show. India’s home décor market is witnessing double-digit growth, supported by rising disposable incomes and improved lifestyles. However, soft furnishings manufacturer D’Decor managed only modest growth in FY24. Despite this, the company’s profit jumped 20% during the same period. D'Decor specializes in manufacturing and selling soft furnishing fabrics such as curtains, upholstery, and bed and bath linens. It exports to over 65 countries and serves the Indian market through its retail stores and online presence. The sale of fabrics and made-ups was the sole source of revenue for D’ Decor during the fiscal year ending March 2024. It has not provided a breakdown of its revenue from domestic and international markets. The firm also added Rs 37 crore from non-operating activities, which pushed its overall income to Rs 853 crore in FY24. For the soft furnishing fabric firm, procurement costs accounted for 39.2% of the total expenditure, amounting to Rs 308 crore in FY24. Meanwhile, advertising expenses surged by 173%, reaching Rs 41 crore during the same period. Employee benefits, along with power, fuel, rent, freight, and other overheads, contributed to a 4% increase in total expenditure — rising from Rs 755 crore in FY23 to Rs 785 crore in FY24. Despite the modest growth, D'Decor managed to increase its profits by 20.5% to Rs 53 crore in FY24 from Rs 44 crore in FY23. On a unit level, it spent Rs 0.96 to earn a rupee in FY24. Its Return on Capital employed (ROCE) and Earnings before tax and depreciation (EBITDA) improved to 14.09% and 17.80%, respectively. As of March 2024, the Mumbai-based company had total current assets of Rs 547 crore, including trade receivables worth Rs 224 crore. Apart from traditional firms, it competes with The Yellow Dwelling, Peak XV-backed Vaaree, Furlenco, Pepperfry, and other emerging players. The home decor market offers irresistible size and for some, margins, but remains a hotly contested market for now. Major brands have struggled to capture a significant share of the market, even as new ones continue to push their luck as well. For D’decor, the outlook for the future will remain steady at best, considering the buffeting in export markets right now. Being profitable will help navigate the turmoil better of course, but don't count on a breakthrough move here.