The board of Spencer’s Retail, the RP-Sanjiv Goenka Group’s multi-format retailer, has appointed Shashwat Goenka as chairman of the company with effect from May 23.
Sanjiv Goenka stepped down from the position of chairman and director of the company with effect from close of business hours on May 22. Shashwat, who has been a director on the board of the company, is the sector head – retail & FMCG, of the group.
In a stock exchange filing on Monday, the company said, “As a part of succession planning and since Shashwat Goenka is overseeing the affairs of the company, Sanjiv Goenka being the non-executive non-independent director has stepped down from the position of chairman and director of the company with effect from close of business hours on May 22, 2023.”
Spencer’s Retail on Monday reported widening of its net loss to Rs 61.23 crore for the fourth quarter last fiscal from Rs 42.47 crore for the same period previous fiscal. Its revenue from operations during the period under review stood at Rs 543.39 crore as against Rs 541.85 crore for the corresponding period of FY22, according to the stock exchange filing.
The company, on a consolidated basis, incurred a net loss after tax of Rs 210.39 crore for the year ended March 31 and its current liabilities, including current borrowings, exceeded current assets by Rs 494.55 crore. “The Group has access to unutilised credit lines with its bankers and additional capital from its promoters, if and when required. The Group also has other investments which can be monetised, if and when required. Further, the Group has been expanding its operations, expanding private brand, building growth towards the non-food segments (including own branded apparel), improvement of margins through dis-continuance of loss making/ low margin stores etc,” it said.
It added that in view of these factors, and the approved business plan for FY24, the management of the company was confident of its ability to generate sufficient cash to fulfil all its obligations, including debt repayments, over the next 12 months.
