Manyavar - Tailwinds May Emerge By FY26: ICICI Securities

ICICI Securities Report

Wedding days (trackable) and number of weddings (un-trackable; but ~10 million per annum) are critical for the success of Manyavar owner Vedant Fashion Ltd.’s business model. Our analysis of wedding days data over last 15 years suggests-

1. correlation between wedding days and Vedant’s revenue growth is 0.73 (FY11-24),

2. Lower number of wedding days potentially lead to market share loss to unorganised segment due to service-related capacity constraint of stores,

3. FY25E has one of the lowest number of wedding days (at 54 days) over the last ten years; may lead to downgrade in consensus estimates.

That said, we reckon retail expansion rate (at ~15%) continues to inspire confidence in the business model. The core character (competitiveness) of the business remains unchanged. Add.

Key downside risks:

1. slower-than expected pick-up in discretionary consumption and

2. rise in competition from branded retailers.

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