Digital beauty and personal care brand Recode Studios reported net sales of Rs 15 crore on the back of a net profit of Rs 48 lakh for FY 2022.
Recode Studios has always kept up with the momentum of a significant rise in revenue year-on-year in FY22. Supported by the two pillars of quality and affordability, the brand is carving its impact in the Indian beauty and cosmetic market. The brand's yearly sales climbed from Rs 25 lakh in 2018 to Rs 2 crore in 2019 and 2020, which is 8X the growth. The brand registered an increase of 2.5 percent in 2021 with Rs 5 crore in sales; and a magnificent growth rate of 300 percent with Rs 15 crore by the end of 2022.
Recode Studios' in-house brands accounted for 75 percent of the total revenue, while other brands accounted for the last 25 percent. In addition, the company claims to earn a 30 percent commission from selling third-party brands on its podium from an array of brands such as London Pride Cosmetics, Wow Skin Science, Riyo Herbs, Malibu, Chic Nutrix, among others, besides Recode's in-house products.
The startup offers a range of beauty products for makeup, skincare, and more. Products such as eyeliner, primer, and liquid lipstick, account for nearly 50-60 percent of the total revenue, wherein the average basket value is Rs 1,100.
After working primarily as a D2C brand early on, Recode Studios adopted an omnichannel strategy wherein brick-and-mortar stores account for 40 percent of its total sales. In addition, the brand has partnered with several stores across the country and has opened over 300 offline stores and three franchise stores, with stores in Chhattisgarh and Maharashtra being on the cards. The brand intends to expand its periphery in the Northeast and the South of India and gradually, within three to four years, towards the Middle Eastern market.
Dheeraj Bansal, Founder of Recode Studios shared," The year 2022 marked the beginning of economic recovery, with brand growth graphs on the positive side. But with the threat of new variants of Covid hovering around the economy, things are expected to become uncertain again. But the lessons learned in the last few years will lead business entities to strategize well and make the best of the available resources."
WoodenStreet, a prominent home furniture and decor brand in India, has exhibited significant growth, boasting approximately a 50 percent increase in margins compared to the previous year. Founded in 2015 by Lokendra Ranawat, Dinesh Pratap Singh, Virendra Ranawat, and Vikas Baheti, the Rajasthan-based startup recently announced remarkable growth for FY22-23.
The company achieved a revenue of approximately Rs 200 crore for FY22-23 and has set an ambitious target of Rs 500 crore for FY23-24, signaling its determination to further expand its operations.
WoodenStreet has been maintaining a consistent annual growth rate of 60-65 percent in India since its inception. Notably, the company's margins surged by 50 percent compared to the previous fiscal year, and it has managed to maintain a positive EBIDTA of Rs 8 crore, highlighting its operational efficiency.
In an era dominated by digital platforms, WoodenStreet has successfully balanced its online and offline presence. The company has opened more than 45 new stores in the last 12 months.
WoodenStreet has strategically expanded its physical presence over the years, with over 90 Experience Centers throughout India and warehouses and R&D Units covering an extensive area of over 20 lakhs sq ft.
Lokendra Ranawat, CEO of WoodenStreet, stated, "As we set our goals for FY23-24, we're excited to introduce innovations to consolidate our market position further. Our commitment to investing in new stores remains unchanged, and we plan to open 300 stores in the next 24 months. Our growth story in FY22-23 is more than just an economic achievement. It's a validation of our continuous efforts to innovate, grow, and, most importantly, to serve our customers better each day."
To diversify and enhance the customer experience, WoodenStreet is introducing two new sub-verticals this year, namely Earthy Threads and Lightstreet. Lightstreet aims to revolutionize home illumination by offering functional and aesthetically pleasing designs. Earthy Threads, on the other hand, is venturing into the realm of soft furnishings, combining traditional artistry with contemporary sensibilities.
As WoodenStreet embarks on another fiscal year, it is evident that the brand is not merely pursuing numerical growth but is on a mission to redefine India's furniture and home decor landscape.
Founded in 2015, the brand presently operates over 90 experience stores across India and maintains a network of more than 350 delivery hubs, offering a vast selection of over 30,000 home furniture, decor, and home furnishing products.
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