Avenue Supermarts, the operator of the DMart hypermarket chain, demonstrated a 11.3% growth in consolidated net profit in the quarter from April to June.
First Quarter Financial Results
The company's operating revenue increased by 14.8%, reaching INR 18,794.53 crore for the quarter ending in June. During this period, the company opened three new stores.
Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) in the first quarter of fiscal year 2027 amounted to INR 1,499 crore, compared to INR 1,299 crore in the same quarter last year. The company's operating margin was 8%, while it was 7.9% in the quarter a year prior.
Management Comments on Business
Anshul Asava, Managing Director and CEO of Avenue Supermarts, commented on the business results of DMart (physical retail), noting that growth in older stores in major metropolitan cities, which generate significantly higher revenue per square foot, remained stable this quarter. Meanwhile, stores located in non-metropolitan cities continued to show good growth. As a result of opening three new outlets, the total number of stores reached 503.
Regarding the e-commerce segment, Vikram Dasu, Permanent Director and CEO of Avenue E-Commerce, stated that the company's focus remains on major metropolitan cities while simultaneously improving its business model. He added that operations were discontinued in seven cities during the quarter that contributed negligibly, and as of June 30, 2026, the company operates in 11 cities.
Board Resolution
The company's Board of Directors also approved the issuance of unsecured debt obligations totaling up to INR 1,000 crore through private placement in one or more tranches.
