Key Financial Metrics

WEB Metro Brands Q3 Revenue and Earnings Miss Expectations

Key Financial Metrics

WEB Metro Brands Limited (NSE: WEB), a leading Indian footwear retailer, announced its financial results for the third quarter (Q3) of fiscal year 2024 (FY24) on August 9. The company's performance fell short of market expectations, with both revenue and earnings per share (EPS) missing analyst estimates.

Revenue for Q3FY24 was reported at INR 750 crore, a 12% year-over-year (YoY) increase. However, this figure missed analyst estimates by 7.6%. Similarly, EPS for the quarter came in at INR 34.5, a 10% YoY increase, but also below market expectations.

Growth Prospects

Revenue and Earnings Forecasts

Despite the Q3 miss, analysts remain optimistic about WEB Metro Brands' long-term growth prospects. The company is forecast to grow its earnings and revenue by an impressive 158% and 156% per annum, respectively, over the next five years.

EPS is also expected to grow at a healthy rate of 15% per annum during the same period.

Upcoming Earnings Announcement

WEB Metro Brands is scheduled to release its Q1FY25 earnings results on August 9. A consensus of five analysts expects the company to report earnings of INR 368 per share, compared to INR 342 per share in the same quarter last year.

Conclusion

WEB Metro Brands' Q3FY24 results were a disappointment, with both revenue and earnings falling below market expectations. However, analysts remain confident in the company's long-term growth prospects, supported by its strong brand recognition, expanding retail network, and focus on innovation. Investors will be closely watching the company's upcoming earnings announcement for further insights into its recovery strategy and future performance.