DMart operator's shares gain up to 4.4% post strong Q1 results

The stock was trading 0.8% higher at ₹4,986.4 apiece on the NSE at 9:30 am. The scrip rose as much as 4.4% to ₹5,164 in the early trade.

Avenue Supermarts on Saturday reported a 17.4% increase in its consolidated net profit to ₹773.68 crore for Q1 FY25 as against ₹658.7 crore in the year-ago period.

Its revenue from operations surged 18.5% to ₹14,069.1 crore during the June quarter compared to ₹11,865.4 crore in the same quarter last fiscal.

The total expenses of Avenue Supermarts in the June quarter were up 18.6% to ₹13,056.61 crore, while total income was ₹14,110.7 crore, up 18.5%.

Neville Noronha, CEO and Managing Director of Avenue Supermarts, said, "Contribution from general merchandise and apparel continued to improve during the quarter and this is reflected in the gross margin uptick."

During Q1 FY25, DMart opened six stores, totalling 371 as of June 30, 2024.

"Operating costs have gone up due to continuing efforts on improving service levels and building capability for the future," Noronha added.

Radhakishan Damani and his family are promoters of DMart, which retails essential home and personal products in markets including Maharashtra, Gujarat, Telangana, Andhra Pradesh, Karnataka, Tamil Nadu, Madhya Pradesh, Rajasthan, Punjab, and NCR.