“Our mattress business continued to deliver strong momentum, growing 27.3% YoY. As we continue to expand our offline footprint, we see significant opportunities to drive cross-selling across mattresses, furniture and furnishings,” said Ankit Garg, Chairman and CEO of the company in a stock exchange filing.
Wakefit’s gross margins on profit stood at 57.1% this quarter compared to 55.8% for the previous year. “Uptick in gross margins is also driven by price hikes implemented to offset the sharp increase in Polyol and TDI prices following supply disruptions caused by the Middle East conflict,” the company said in its release.
Founded in 2016, Wakefit initially focused on sleep-related products such as mattresses, pillows, and bed frames before expanding to a broader home portfolio including sofas, dining sets, wardrobes, study tables, and bookshelves.
For the June quarter, its expenses grew 14.4% to Rs 384.2 crore; cost of material consumed, other expenses and employee benefit expenses accounted for the majority. Its advertisement and marketing investments stood at 7.6% of the operating revenue, in line with the previous quarter.
Wakefit has been expanding its retail footprint every quarter. This quarter, it added 27 new stores which brought its total active stores count to 165.
“We remain on track to add nearly 80 COCO (company owned and company operated) stores during FY27. Our planned FY27 capex of around Rs 100-120 crore remains on track, with approximately 80% allocated towards retail expansion, particularly our jumbo store format, and the remaining 20% towards manufacturing automation and other regular business upgrades,” said Chaitanya Ramalingegowda, cofounder of the company.
Wakefit’s shares closed at Rs 127.9 apiece on the National Stock Exchange after dropping by 2.25% on Thursday.