DMart has announced its results for the first quarter of the financial year 2025-26. Avenue Supermarts, which operates DMart, known as the grocery king in the domestic retail market, reported a net profit of Rs. 830 crore on a standalone basis in 3 months. This is only 2 percent increase from Rs. 812 crore in the same quarter last year. Income from operations grew 16 percent year-on-year to Rs. 15,932 crore during the same period. The company opened nine new stores during the quarter, bringing the total store count to 424 by the end of June.
The company said that while overall revenue growth was strong, there were some pressures on margins and costs. High inflation in the prices of several staple foods and other products was a significant factor. The price reduction impacted sales growth by approximately 100 to 150 basis points. In addition, the FMCG market remained highly competitive, which added pressure on margins.
For the quarter, EBITDA was Rs. 1,313 crore, compared to Rs. 1,221 crore in the same quarter last year. The company said that operating expenses increased due to improved service levels, capacity expansion, and inflation in entry-level salaries. In Q1, D-Mart increased its employee benefits expense by 30.3 percent to Rs. 346.9 crore. D-Mart further expanded its presence in the first quarter and attracted a large number of customers.
In the wake of the weak results, it fell heavily in the Friday session (July 11). In the previous session, it closed at Rs. 4,169. Today, it started there and registered small gains in the beginning, but then it continued to fall. At one point in the intraday, it fell by almost 3 percent to Rs. 4041 and then rebounded slightly. Finally, it closed the session at Rs. 4069 with a loss of 2.40 percent. The market value is Rs. 2.65 lakh crore. The stock’s 52-week high is Rs. 5,484.85, while the low is Rs. 3,340.