Employee benefits expenses decreased by 0.75% from % 619.54 million in Fiscal 2020 to = 614.87 million in
Fiscal 2021, primarily due to a decrease in salaries, wages and bonus by 1.28% from % 580.41 million in Fiscal
2020 to % 572.98 million in Fiscal 2021 on account of the optimisation of labour force as a result of the lockdown.
This also led to a decrease in staff welfare expenses by 12.38% from % 18.58 million in Fiscal 2020 to = 16.28
million in Fiscal 2021. This was marginally offset by an increase in the contribution to provident and other funds
by 13.03% from 2 13.43 million in Fiscal 2020 to = 15.18 million in Fiscal 2021; and an increase in gratuity
expenses by 46.49% from 2 7.12 million in Fiscal 2020 to = 10.43 million in Fiscal 2021 attributable to the increase
in service costs.

Finance costs

Finance costs increased by 24.87% from % 164.72 million in Fiscal 2020 to 2 205.69 million in Fiscal 2021
primarily due to an increase in lease rental discounting by 23.80% from % 163.88 million in Fiscal 2020 to 2
202.89 million in Fiscal 2021 a result of the adoption of Ind AS 116. Interest expense on cash credit facility
increased from % 0.12 million in Fiscal 2020 to % 1.15 million in Fiscal 2021 and expenses on delayed payment
of income tax also increased from % 0.72 million in Fiscal 2020 to = 1.65 million in Fiscal 2021.

Depreciation and amortisation expenses

Depreciation and amortisation expenses increased by 29.90% from % 465.72 million in Fiscal 2020 to = 604.99
million in Fiscal 2021, primarily on account of increase in amortisation of right-of-use assets by 30.47% from &
394.35 million in Fiscal 2020 to % 514.63 million in Fiscal 2021, due to capitalisation of new EBOs. Depreciation
of property, plant and equipment increased by 26.00% from % 69.22 million in Fiscal 2020 to = 87.22 million in
Fiscal 2021 and depreciation of intangible assets also increased by 53.17% from % 2.05 million in Fiscal 2020 to
% 3.14 million in Fiscal 2021 due to capitalisation of new EBOs and the adoption of Ind AS 116.

Other expenses

Other expenses decreased by 15.57% from % 460.21 million in Fiscal 2020 to % 388.54 million in Fiscal 2021,
primarily due to a decrease in:

¢ Sales promotion expenses that decreased by 10.66% from % 71.20 million in Fiscal 2020 to % 63.61 million
in Fiscal 2021 primarily on account of the COVID-19 pandemic affecting revenue from sales and reduced
commission on stores.

¢ Rent expenses that decreased by 40.92% from % 110.99 million in Fiscal 2020 to 2 65.57 million in Fiscal
2021 primarily due to lease extension options held and exercisable by the Company, rent relief negotiations
pursuant to which we arrived at negotiated agreements with respect to reductions in rent and our rental
obligations during the COVID-19 pandemic with a majority of our landlords. In accordance with MCA.
Notification, the Company has elected to apply the practical expedient of not assessing lease concessions as
a lease modification for all lease concessions which are granted due to COVID-19 pandemic. As a result, rent
concession, shown as an increase in other income, increased to = 243.31 million in Fiscal 2021 from no such
income in Fiscal 2020.

¢ Repairs and maintenance expenses of buildings that decreased by 11.69% from % 55.34 million in Fiscal 2020
to = 48.87 million in Fiscal 2021 on account of waivers of common area maintenance charges from mall
owners for the duration of the nationwide lockdown imposed by the government in Fiscal 2021 on account
of the COVID-19 pandemic; expense on machinery that decreased from 2 0.42 million in Fiscal 2020 to 2
0.13 million in Fiscal 2021 and expenses on others that decreased by 25.63% from % 23.57 million in Fiscal
2020 to 2 17.53 million in Fiscal 2021 on account of COVID-19 lockdowns and reduced operations.

Travelling and conveyancing expenses that decreased by 46.12% from 16.24 million in Fiscal 2020 to &
8.75 million in Fiscal 2021, due to nationwide lockdown and temporary closures of certain of our stores on

account of the COVID-19 pandemic, reduced operating hours and reduced travel by the corporate team.

« Bank charges that decreased by 29.57% from 2 16.10 million in Fiscal 2020 to % 11.34 million in Fiscal 2021
due to lesser transactions as a result of reduced operations.

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