Avenue Supermarts reported strong Q1 FY27 results with revenue up 15.1% year-on-year. EBITDA and PAT also saw healthy growth, while the company added 3 new stores to its network.
Avenue Supermarts Q1 FY27 Results
Standalone Revenue: ₹18,343 crore
Standalone PAT: ₹936 crore
Reader Takeaway: Strong revenue growth driven by core retail, but flat metro store performance is a concern.
What just happened
Avenue Supermarts announced its first-quarter results for fiscal year 2027 (Q1 FY27). The company reported a standalone revenue of ₹18,343 crore, marking a significant 15.1% increase compared to the same period last year.
Standalone EBITDA grew by 16.3% to ₹1,527 crore, with EBITDA margins improving slightly to 8.3%. Profit After Tax (PAT) stood at ₹936 crore, a rise of 12.8% year-on-year, though PAT margins saw a minor dip to 5.1% from 5.2%.
Consolidated revenue was ₹18,795 crore, with consolidated EBITDA at ₹1,499 crore and PAT at ₹860 crore.
Why this matters
The results indicate continued strong performance in Avenue Supermarts' core brick-and-mortar retail business, driven by robust demand. However, a slowdown in same-store growth, particularly in older metro stores, warrants attention for future growth prospects.
The strategic decision to discontinue e-commerce operations in seven cities and focus on 11 others suggests a move towards profitability and operational efficiency in its online venture.
The backstory
Avenue Supermarts, operating under the brand DMart, is one of India's leading supermarket chains. Known for its value-for-money proposition, the company has steadily expanded its store network across the country.
What changes now
The company added 3 new stores in the quarter, bringing its total store count to 503. While non-metro stores show good growth, older stores in large metropolitan areas reported flat growth. The growth in stores operating for two years or more slowed to 5.5% from 7.1% in the previous year's comparable quarter.
The e-commerce arm, DMart Ready, is now operational in 11 cities after discontinuing operations in seven marginal markets.
Risks to watch
Flat growth in older metro stores could signal market saturation or changing consumer behaviour in key high-revenue urban centres.
A slowdown in same-store growth for established retail outlets might impact overall revenue momentum if new store additions cannot fully compensate.
Peer comparison
(No peer comparison data available in the filing.)
Context metrics (time-bound)
- Q1 FY27 Revenue: ₹18,343 crore (+15.1% YoY)
- Q1 FY27 EBITDA: ₹1,527 crore (+16.3% YoY)
- Q1 FY27 PAT: ₹936 crore (+12.8% YoY)
- New Stores Added: 3
- Total Stores: 503 (as of June 30, 2026)
- 2+ Year Store Growth: 5.5% (Q1 FY27)
What to track next
Investors will be looking for management commentary on strategies to revitalise growth in older metro stores and the path to profitability for the consolidated e-commerce operations. Future store expansion plans and performance in non-metro markets will also be key.