Spencer's Retail Narrowing Losses and Quick Commerce Expansion

Spencer's Retail reported a reduced net loss of Rs 47.34 crore for the third quarter, down from Rs 51.20 crore the previous year. It introduced 'Jiffy' quick commerce in West Bengal to enhance growth, while revenue saw a 20.9% decline. There are plans to open more stores in core geographies.

In a bid to bounce back from financial setbacks, Spencer's Retail has reported a narrowed consolidated net loss of Rs 47.34 crore for the third quarter of the fiscal year, compared to a loss of Rs 51.20 crore during the same period last year. As the retailer pushes towards rejuvenating growth, it has ventured into the quick commerce market.

Dubbed 'Jiffy', the new service promises to deliver orders within 20-30 minutes across West Bengal, leveraging Spencer's existing retail footprint without additional capital investment. 'Our 89-store network, including 47 in Bengal, will serve the quick commerce segment, supported by external logistics,' explained Spencer's Retail Chairman Shashwat Goenka.

Looking ahead, Spencer's plans to enhance its presence in West Bengal and Uttar Pradesh while stepping back from non-core markets like Kerala and Andhra Pradesh. Despite a 20.9% revenue dip and shares dropping 7.11% to Rs 85.5, Spencer's is eyeing a twofold increase in online orders and a positive EBITDA by optimizing operational metrics.

(With inputs from agencies.)