DMart’s parent company, Avenue Supermarts, reported steady growth in the second quarter of FY27, with consolidated net profit rising 8.5% year-on-year to Rs 742.98 Cr.
The company had reported a net profit of Rs 684.85 crore in the same quarter last year. Revenue from operations increased 17.8% to Rs 19,644 cr in the September quarter, compared with Rs 16,676.30 crore a year earlier.
However, the company’s consolidated EBITDA margin stood at 7.1% in Q2 FY27, slightly lower than 7.3% in the year-ago quarter.
- DMart Opens 15 New Stores
Avenue Supermarts continued to expand its retail network by opening 15 new stores during the quarter. This took its total store count to 518.
Sales growth at DMart stores that have been operating for at least two years also improved. These stores recorded growth of 9.5% during the September quarter, compared with 6.8% in the same period last year.
Anshul Asawa, Managing Director and CEO of Avenue Supermarts, said the company’s pricing strategy remains strong despite inflation. He added that higher wages for entry-level employees had led to a slight increase in operating expenses.
- Expenses Rise Alongside Revenue
The company’s total expenses increased 18.3% year-on-year to Rs 18,632.70 Cr during the quarter. Total income, including other income, rose 17.7% to Rs 19,657.54 Cr.
The rise in expenses, along with a slight decline in EBITDA margin, shows the impact of operating costs even as the retailer continues to grow revenue and expand its store network.
- Food Products Lead DMart’s Revenue
Food remained DMart’s biggest revenue contributor during the first half of FY27, accounting for 56.9% of overall revenue.
General merchandise and apparel contributed 23.62%, while non-food fast-moving consumer goods (FMCG) accounted for 19.4%.
Meanwhile, DMart Ready, the company’s online grocery business, is focusing on improving operational efficiency and customer experience in the cities where it currently operates. Vikram Dasu, Whole-Time Director and CEO of Avenue E-Commerce, highlighted these priorities for the business.
With higher revenue, improved growth at older stores and continued expansion, DMart is working to strengthen its position in India’s competitive retail market.
Key Numbers
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Rs 742.98 Cr: Q2 FY27 net profit, up 8.5% year-on-year
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Rs 19,644 Cr: Quarterly revenue, up 17.8%
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518 stores: Total DMart store network after opening 15 new stores
