Avenue Supermarts Ltd., the operator of the popular retail chain DMart, has reported its consolidated profits for the quarter ending June 2024. Profits surged to Rs 774 crore from Rs 659 crore in the same period last year, showing a healthy growth of 17.5% year-on-year. Additionally, the revenue grew by 18.6% YoY to stand at Rs 14,069 crore.
“Our revenues for Q1 FY 2025 have increased by 18.4%. Contribution from General Merchandise and Apparel continued to improve during the quarter and the same has been reflected in the gross margin uptick (Q1 FY 2025 vs Q1 FY 2024). Operating costs have gone up due to continuing efforts on improving service levels and building capability for the future,” Neville Noronha, CEO and Managing Director of Avenue Supermarts, said.
This quarter, DMart extended its footprint further by opening six new stores, bringing the total to 371 stores as of the end of June. For Q1 FY 2025, the company reported Rs 11.89 as consolidated basic earnings per share (EPS) versus Rs 10.14 in Q1 FY 2024. On a standalone basis, there was an increase of 18.4% year-on-year to Rs 13,712 crore in the company’s revenue. Profit after tax (PAT) rose by 16.8% YoY to Rs 812 crore.
DMart’s low-cost and low-price business model continues to yield positive results. This strategy focuses on sourcing goods at the best prices and optimizing operations and distribution efficiencies, which allows the retailer to offer value for money to its customers.
In the June quarter, foreign institutional investor (FII) holdings in the company increased from 8.3% to 9.2%, while domestic institutional investor (DII) ownership decreased from 8.6% to 8%. Ahead of the quarterly results announcement, shares of Avenue Supermarts closed 1.15% higher at Rs 4,953 on the Bombay Stock Exchange (BSE) on Friday.
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Source: ET
News Desk
