Brazilian firm Arezzo's revenue jumps 21.6% in Q2 FY23

The recurring EBITDA was BRL 198 million, a growth of 22.1 per cent against Q2 FY22, and the recurring EBITDA margin was registered at 17.5 per cent. Meanwhile, the reported EBITDA was BRL 178 million.

Direct-to-consumer (DTC) sales, which include franchises, web, and owned stores, reached BRL 1.2 billion in the quarter, Arezzo said in a press release.

The company reported a recurring gross margin of 54.9 per cent in Q2 FY23, and the gross income was BRL 621 million, a 17.5 per cent growth year-over-year (YoY). Recurring net income was BRL 114 million, while reported net income was at BRL 100 million.

Arezzo’s web commerce sales have been noteworthy with total revenues reaching BRL 296 million, an increase of 24.4 per cent YoY. Traffic saw an 11.8 per cent increase, totalling 78 million, while the total revenue from apps was BRL 78 million, growing by 36 per cent YoY. Furthermore, the total app share of revenues was 28.2 per cent, and web commerce tickets were up by 36.2 per cent YoY.

Digital sales as a share of physical stores sell out were at 55.8 per cent. Store pickup and delivery revenues also saw significant growth, up 60.8 per cent YoY.

Arezzo's customer relationship management (CRM) showed a 12.7 per cent growth in its active customer base, with the number of omni customers up 14.7 per cent against Q2 FY22.

Fibre2Fashion News Desk (DP)