DMart pivots to non-metros as same-store sales growth slows to 5.5% amid quick-commerce squeeze
Avenue Supermarts' like-for-like growth cooled to 5.5% from 7.1% as metro stores went flat under quick-commerce pressure. DMart is shifting focus to non-metro clusters, trimming DMart Ready to 11 cities from 24, and approved a ₹1,000 crore NCD raise. Revenue per sq ft fell 2.4% to ₹8,571.
What happened
DMart's same-store sales growth slowed to 5.5% as metro stores went flat amid quick-commerce competition; retailer pivots to non-metro clusters, trims DMart
Key facts
- 503 stores
- same-store sales 5.5% from 7.1%
- 3 stores added
- DMart Ready 11 cities from 24
- bill cuts up 13.4% to 11 crore
- revenue per sq ft ₹8,571 down 2.4%
- Foods 54.9%
- GM&Apparel 25.5%
- ₹1,000 crore NCDs
Why this matters
DMart's non-metro pivot and DMart Ready pullback open partnership or acquisition angles in quick-commerce fulfillment and tier-2/3 grocery distribution to shore up the softening urban business.
What to watch
- Next-quarter SSSG print vs the 5.5% baseline
- Revenue per sq ft trajectory (₹8,571 stabilization or further slide)
- Quick-commerce GMV growth in metro grocery categories
- New store count and non-metro contribution mix
- DMart Ready order volumes post-city cut
- Accelerate non-metro store openings and land banking in tier-2/3 clusters
- Deploy NCD proceeds toward store expansion and supply-chain capex rather than buybacks
- Rationalize DMart Ready to protect unit economics after cutting to 11 cities
- Sharpen everyday-low-price positioning to differentiate from discount-heavy quick-commerce