XYXX, the men’s innerwear brand, closed the last fiscal year with a revenue of INR 110 crore. In the current fiscal year, the brand is targeting a growth of 50-70 percent. According to Yogesh Kabra, the founder of XYXX, the brand anticipates a 50 percent year-on-year growth for the next 10 years.
In order to achieve the projected revenue target, the brand is concentrating on expanding its offline presence and diversifying its product categories. A recent venture includes entering the athleisure category.
“We’ve always been essential wear – innerwear and loungewear – brand and our 96-97 per cent of revenue comes from these categories. Recently, the categories that we’ve launched are a little more towards outerwear and as we will inch closer to the summer season, we plan to double down on the athleisure wear,” he said.
The brand is currently present in 22,000 general trade stores, and it aims to expand this presence by 25-30 percent, reaching a total of 30,000 stores by the end of FY 25.
The brand ventured into modern trade approximately 8-12 months ago and is currently available in 250 stores. It anticipates a remarkable 300 percent expansion in modern trade stores by the end of FY 25.
“As far as EBOs are concerned, we currently have 5 exclusive brand outlets. We have recently launched two new stores – Surat and Infiniti Mall Malad. We plan to open 15-20 stores by FY 25. We are not fixated on hitting a number of stores milestone, however, we focus more on operating profitability per store,” he asserted.
The brand’s average store size is 500 sq ft, with a CAPEX of INR 2,000 – INR 3,000 per sq ft for each store opening. Currently, all the brand’s stores are owned and operated by the company.
The brand presently collaborates with 150 channel partners for distribution and aims to augment this number by 25-30 percent by the end of FY 25.
Currently, online channels account for 50 percent of the brand’s revenue, while modern trade contributes 2 percent, and the remaining 48 percent is generated through general trade.
“Currently, 35 per cent of our revenue comes from the North, 30 per cent from the South, 25 per cent from the West and the remaining 10 per cent is contributed by the East,” he stated.
Having secured INR 110 crore in its Series C funding in May 2023, the brand has no intentions of seeking additional capital in the coming 12-13 months.