DMart's Q1 results: Net profit rises 17.5%, revenue up 18.6%
Avenue Supermarts, the parent company of retail chain DMart, has reported a consolidated net profit of ₹773.8 crore for Q1 FY25, marking a 17.5% increase from ₹658.8 crore in the same period last year. The company also saw an 18.6% year-on-year (YoY) rise in consolidated revenue from operations, reaching ₹14,069.1 crore compared to ₹11,865.4 crore a year ago. "Our revenue for Q1 FY 2025 grew by 18.4%," stated Neville Noronha, CEO & Managing Director of Avenue Supermarts Limited.
Standalone figures show similar growth
DMart's standalone net profit also saw a significant increase, rising by 16.8% to ₹812 crore for Q1 FY25 from ₹695 crore in the same quarter last year. The standalone total revenue for the quarter ending June 30, 2024, rose by 18.3% to ₹13,712 crore compared to ₹11,584 crore in the previous year's corresponding quarter. "Contribution from General Merchandise and Apparel continued to improve during the quarter," Noronha noted.
DMart expands store count, operating costs rise
DMart expanded its retail presence by opening six new stores during the quarter, bringing its total store count to 371 as of June 30, 2024. However, Noronha acknowledged that operating costs have increased due to efforts to improve service levels and build capability for the future.
Avenue Supermarts sees stock price increase
On July 12, Avenue Supermarts's stock closed at ₹4,953.35 on the BSE, an increase of ₹56.35 or 1.15% from the previous day's closing price. This rise in stock price precedes the company's announcement of its impressive Q1 results. The financial performance and expansion efforts seem to have positively influenced investor sentiment toward the retail giant.
