V2 Retail shares slump up to 19.3%, hit 52-week low; what’s unnerving investors?

Shares of V2 Retail came under heavy selling pressure on Monday, October 5, falling as much as 19.3% to hit a fresh 52-week low of ₹162.33 apiece on the NSE, after the company’s Q2 FY27 business update raised concerns over the pace of growth.

While revenue rose 28.4% year-on-year to ₹905 crore, same-store sales growth was just 0.5%, pointing to muted growth in sales from existing stores.

The company also opened 49 new stores during the quarter, taking its expansion-led growth strategy into focus.

V2 Retail SSSG explanation

V2 Retail said same-store sales growth (SSSG) stood at 0.5% on a festival-normalised basis in Q2 FY27. This comparison matches each day of the quarter with the corresponding day of last year’s festival calendar, thereby adjusting for the shift in the timing of festivals.

On a regular calendar basis, SSSG stood at -14.9%, as Q2 FY26 included the Navratri and Durga Puja festive period, while these festivals fall in October this year and will be reflected in Q3 FY27.

The company said the festival timing difference creates a seasonal distortion and that the festival-normalised figure provides a better view of the underlying performance.

In simple terms, last year, some major festive shopping happened in Q2; this year, that shopping will happen in Q3. So comparing Q2 directly with Q2 makes this year look much weaker than it actually is.

"With the festive season ahead, we are well-positioned to capture the demand uplift in Q3 while sustaining our long-term growth momentum," it added.

Other key details

Monthly Sales per Square Foot (PSF) was ₹ 700 in Q2 FY27. The quarter did not include the Navratri and Durga Puja season, and a larger share of the network is still ramping up, with 106 of the 427 stores opened during H1 FY27.

These factors reflect the natural ramp-up cycle of new stores and the timing of the festive season, while underscoring the scalability of our expanding footprint.

• Opened 49 new stores and closed 3 stores during the quarter, taking new store openings in H1 FY27 to 106.

Expansion remained focused on high-potential, Tier 2 and Tier 3 consumption markets, reinforcing our commitment to democratising affordable fashion and deepening our reach across India’s growth corridors.

• Expanded the retail footprint to approximately 46.28 lakh sq. ft. across 427 stores as of September 30, 2026, further strengthening our pan-India presence.