2020 and increased to % 309.96 million in the three months ended June 30, 2021, and we permanently closed 26
stores in Fiscal 2021 due to significant decline in footfalls on account of COVID-19. Further, stores located in
containment zones, as demarcated by the regional authorities from time to time, may have further restrictions
imposed on their operations. The sale of products decreased by 35.99% from 2 3,906.13 million in Fiscal 2020
to % 2,500.29 million in Fiscal 2021, primarily driven by the impact of COVID- 19 and the temporary closure
of a number of our stores due to lockdown related restrictions on our business operations. However, the sale of
products increased by 199.95% from % 102.93 million in the three months ended June 30, 2020 to = 308.73
million in three months June 30, 2021. The impact of COVID-19 led to a decline in our revenue from our EBOs
that decreased by 35.23% from % 2,667.13 million in Fiscal 2020 to 2 1,727.62 million in Fiscal 2021 and
increased by 190.52% to % 242.50 million in the three months ended June 30, 2021, while revenue from LFSs
decreased by 46.46% from 2 1,030.17 million in Fiscal 2020 to % 551.58 million in Fiscal 2021, and increased
by 604.59% to % 41.66 million in the three months ended June 30, 2021 and revenue from MBO’s decreased by
38.82% from % 116.98 million in Fiscal 2020 to 2 71.57 million in Fiscal 2021, and decreased by 16.53% to =
3.86 million in the three months ended June 30, 2021.

Temporary decline in availability of workforce due to employees contracting the virus, and restrictions on
certain of our employees from commuting to their places of work. As a result, number of employees declined
from 2,914 employees as of March 31, 2020 to 2,794 employees as of March 31, 2021, and to 2,855 employees
as of September 30, 2021.

Temporary closure of our warehouse including due to limited availability of workforce and in compliance with
regulations mandated by regional regulatory bodies.

Adverse impacts to our sales, profitability and growth rates — particularly as operating expenses do not decrease
at the same pace as revenue declines. We recorded a loss after tax of 35.39 million in Fiscal 2021 primarily
on account of the impact of COVID-19 on our operations and on account of adoption of Ind AS 116 compared
to a profit of = 526.34 million in Fiscal 2020. While the impact of COVID-19 on our profitability cannot be
quantified, for further information on the impact of Ind AS 116 on our operations, see “Management’s
Discussion and Analysis of Financial Condition and Results of Operations - Non GAAP Measures” on page
310. Many of our expenses are less variable in nature and may not correlate to changes in revenues, such as
lease expenses, depreciation, employee benefit expenses and other costs associated with operating and
maintaining our stores. Our fixed costs as a percentage of our total expenses was 40.39%, 44.16%, 54.76%,
82.16% and 69.68% in Fiscal 2019, 2020 and 2021 and in the three months ended June 30, 2020 and June 30,
2021, respectively, while our fixed costs as a percentage of revenue from operations was 35.22%, 37.01%,
62.35%,360.80% and 131.88% in Fiscal 2019, 2020 and 2021 and in the three months ended June 30, 2020 and
June 30, 2021, respectively. Further, our variable costs as a percentage of our total expenses was 59.61%,
55.84%, 45.24%,17.84% and 30.32% in Fiscal 2019, 2020 and 2021 and in the three months ended June 30,
2020 and June 30, 2021 respectively, while our variable costs as a percentage of revenue from operations was
51.99%, 46.80%, 51.51%,78.36% and 57.39% in Fiscal 2019, 2020 and 2021 and in the three months ended
June 30, 2020 and June 30, 2021, respectively. Rental expenses and leave and license fees account for a
significant portion of our cash outflows, as a result, we entered into renegotiations under various rental
arrangements with mall developers, landlords and lessors during the onset of the COVID-19 pandemic in
India. While we have re-negotiated certain of our rental arrangements including by receiving certain waivers,
there can be no assurance that they would agree to any complete or partial waiver or reduction of rent expenses
for the remaining term of the relevant lease. There can also be no assurance that we will be able to obtain
such waivers or successfully further renegotiate these arrangements in the future. A continued decline or
fluctuation in footfalls, particularly as a result of the second and any subsequent waves in India, may also affect
our ability to manage our expenses, particularly rental expenses and employee benefit expenses. Also see “—
Current locations of our exclusive brand outlets may become unattractive, and suitable new locations may not
be available for a reasonable price, if at all. In addition, we are exposed to all of the risks associated with
leasing real estate and any adverse developments could materially affect our business, results of operations and
financial condition. Further, we generated a majority of our sales from our exclusive brand outlets located in
Southern and Western India and any adverse developments affecting our operations in these regions could have
an adverse impact on our revenue and results of operations.” on page 25.

Disruptions of the services we receive from third-parties including vendors and logistics service providers.
Compliance with evolving government regulations with respect to social distancing measures and

sanitization practices. For instance, various state governments have notified restrictions on store operations
in terms of timings with respect to opening and closing of establishments, including malls, and allowing

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