Aditya Birla Lifestyle bets on festive demand

Aditya Birla Lifestyle Brands is hoping the festive season will help bring back demand for its apparel, despite raising prices by around 6% to combat higher costs. The company, which includes well-known brands like Louis Philippe, Van Heusen, Allen Solly, and Peter England, saw flat sales growth in like-for-like terms for September, compared to 5.3% growth in the second quarter of the fiscal year 2027.

This decline happens as the full effect of price increases begins to affect the December quarter, making it crucial for customers to accept the price hike and for the company to effectively discount its products. Managing Director Ashish Dikshit said the company has lowered some of the price increase, working with suppliers, though the full impact won't be seen until the December quarter, when September's mix of old and new inventory is factored in.

Sales were uneven across categories, with casual wear and athleisure driving growth, while wedding-related purchases lagged. The company anticipates better performance in wedding-led categories, including ethnic wear, during the current festive and wedding season.