Shoppers Stop Limited (SSL), a prominent Indian retailer, has received an upgraded Environmental, Social, and Governance (ESG) rating, showcasing its commitment to sustainable business practices. The company's ESG performance has shown a notable improvement, as revealed in a recent assessment by SES ESG Research Private Limited.

ESG Rating Improvement

SES ESG Research Private Limited, an independent ESG rating agency, has assigned Shoppers Stop an ESG rating of 69.10 based on the company's FY 2024-25 disclosures. This marks a significant improvement from the previous rating of 68.20, which was based on FY 2023-24 data. The assessment was conducted on July 23, 2025, without any direct engagement from Shoppers Stop, emphasizing the objectivity of the evaluation.

Voluntary Assessment and Transparency

It's worth noting that Shoppers Stop did not commission this ESG assessment. SES ESG undertook the evaluation voluntarily, relying solely on publicly available information pertaining to the company's performance in FY 2024-25. This approach underscores the importance of corporate transparency and the growing interest in ESG metrics among stakeholders.

Regulatory Compliance

In compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Shoppers Stop promptly disclosed this ESG rating update to the stock exchanges. The disclosure, made on July 24, 2025, adheres to the SEBI Master Circular SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024, which governs such ESG-related disclosures.

Implications for Investors and Stakeholders

The improvement in Shoppers Stop's ESG rating may be of interest to investors and stakeholders who prioritize sustainability and responsible business practices. ESG ratings are increasingly being used as a metric to assess a company's long-term resilience and its ability to manage environmental, social, and governance risks.

As companies face growing pressure to demonstrate their commitment to sustainability, Shoppers Stop's improved ESG rating could potentially enhance its appeal to environmentally and socially conscious investors and customers.

While the specific factors contributing to the rating improvement were not detailed in the disclosure, the higher score suggests that Shoppers Stop has made progress in its ESG-related initiatives and disclosures over the past year.

As the retail sector continues to evolve, with increasing emphasis on sustainable practices, Shoppers Stop's improved ESG performance positions the company favorably in the changing business landscape.

Shoppers Stop Limited (SSL), a leading retail chain in India, is set to enhance its operational capabilities with the opening of a new warehouse in Karnataka. The company announced that the facility will commence operations on July 25, 2025, marking a significant step in its logistics and supply chain strategy.

Strategic Location

The new warehouse is strategically located in the Bangalore Rural District, spanning across Lakkenahalli and Kuluvanahalli Villages in Nelamangala Taluka. This location is expected to serve as a crucial hub for Shoppers Stop's distribution network in the southern region.

Operational Efficiency

According to the company's statement, this new facility is designed to "enhance the Company's ability to deliver products more efficiently to its customers and stores." The move aligns with Shoppers Stop's ongoing efforts to streamline its supply chain and improve customer service.

Expanding Footprint

This development comes as part of Shoppers Stop's broader expansion strategy. In a recent earnings call, the company's management outlined plans to open 7-8 new departmental stores and 30-40 INTUNE format stores in the current fiscal year, indicating a robust growth trajectory.

Financial Performance

The announcement of the new warehouse follows a quarter of mixed performance for Shoppers Stop. The company reported:

• A 5.00% like-for-like growth in departmental stores
• An overall growth of 6.00% in the departmental store format
• A 68.00% increase in EBITDA on a non-GAAP basis

Focus on Customer Experience

Shoppers Stop has been emphasizing customer experience and premiumization. The company reported:

• A 2.00% increase in customer footfall in like-for-like stores
• Growth in their personal shopper program, contributing 25.00% of total sales
• Successful marketing campaigns like "India Weds with Shoppers Stop" and "Travel Edit"

Looking Ahead

With the new warehouse becoming operational, Shoppers Stop is positioning itself to capitalize on the upcoming festive season. The company expressed optimism about the next two quarters, expecting them to be "an outlier" in terms of performance.

As Shoppers Stop continues to invest in infrastructure and expand its retail footprint, the new warehouse in Karnataka represents a strategic move to support its growth ambitions and enhance its competitive position in the Indian retail landscape.