Avenue Supermarts, which operates the retail chain DMart, on October 14 reported a consolidated net profit of Rs 623.35 crore for the second quarter of the financial year 2023-24, down 9.09 percent from Rs 685.71 crore in the year-ago period.
The company’s consolidated net profit fell 5.36 percent from Rs 658.71 crore in the previous quarter.
Standalone net profit decreased 10.91 percent at Rs. 658.54 crore for Q1FY24, as compared to Rs. 730.4 crore in the corresponding quarter of last year.
The company reported an 18.66 percent YoY (year-on-year) rise in consolidated revenue from operations at Rs 12,624.37 crore against Rs 10.638.33 crore a year ago. The revenue rose 6.39 percent from Rs 11,865.44 crore in the previous quarter.
Standalone total revenue for the quarter ended June 30, 2023 rose 18.51 percent at Rs. 12,307.72 crore, as compared to Rs. 10,384.66 crore for the same period last year.
Revenue was largely in line but profit missed estimates. According to a poll of three brokerages, DMart’s Q2 revenue was seen at Rs 12,592 crore and net profit at Rs 675 crore.
Earnings before Interest, Tax, Depreciation and Amortization (EBITDA) in
Q2FY24 stood at Rs. 1,005 crore, as compared to Rs. 892 crore in the corresponding quarter of last year. EBITDA margin stood at 8.0 percent in Q2FY24 as compared to 8.4 percent in Q2FY23.
"Our gross margins continue to be lower compared to the same period in the previous year due to lesser contribution from the higher margin General Merchandise and Apparel business. We opened 9 new stores during the quarter taking our total store count to 336.” said . Neville Noronha, CEO & Managing Director, Avenue Supermarts Limited.
On October 13, Avenue Supermarts closed at Rs 3920 on the National Stock Exchange, up 1.48 percent from the previous day.
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