DMart Profit Surges 17% as Avenue Supermarts Reports Strong Q3 Growth

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Author Ishaan Verma | Published :
DMart Profit Surges 17% as Avenue Supermarts Reports Strong Q3 Growth
Overview

Avenue Supermarts, operator of DMart, posted robust Q3 results with net profit climbing 17% to ₹856 crore and revenue growing 13.3% to ₹18,101 crore. EBITDA also saw a significant 20.2% increase, while EBITDA margins improved to 8.1%. The update comes as MD and CEO Ignatius Navil Noronha's term concludes January 31. DMart shares finished Friday trading up 0.45%.

Avenue Supermarts Reports Robust Q3 Performance

Avenue Supermarts Ltd., the company behind the popular DMart retail chain, announced a strong financial performance for the third quarter ending December. The company reported double-digit growth across its key financial metrics, signaling robust consumer demand.

Key Growth Metrics

Net profit surged 17% year-on-year to ₹856 crore, a significant increase from ₹733 crore recorded in the corresponding period last year. Revenue from operations also climbed substantially, growing 13.3% to ₹18,101 crore, up from ₹15,972 crore in the prior year.

Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) recorded a healthy 20.2% jump, reaching ₹1,463 crore compared to ₹1,217.5 crore a year ago. Furthermore, the company's EBITDA margin improved to 8.1% during the quarter, up from 7.7% in the same period of the previous fiscal year.

Leadership Transition

In a separate development, Avenue Supermarts confirmed that Ignatius Navil Noronha’s tenure as the Managing Director and Chief Executive Officer will conclude on January 31. This leadership transition adds a notable element to the company's forward-looking narrative.

Share Performance and Prior Quarter

For comparison, the company's preceding quarter saw revenue growth of 15.5% year-on-year to ₹16,676.3 crore, with a profit of ₹685 crore, up 3.9% from the year-ago period. Shares of the Mumbai-headquartered retailer closed Friday trading with a modest gain of 0.45%.
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