DMart Q1 net profit rises 11.3% to ₹860.44 cr as sales climb 14.9%
Avenue Supermarts posted Q1 revenue of ₹18,794.53 cr, up 14.9%, with net profit at ₹860.44 cr. PAT margin held at 4.6% as expenses rose 15.1%. The chain added 3 stores to reach 503, though older-store growth slowed to 5.5%. DMart Ready pulled back, exiting 7 cities to operate in 11.
What happened
Avenue Supermarts (DMart) Q1FY27 net profit rose 11.3% to ₹860.44 cr on 14.9% revenue growth to ₹18,794.53 cr. Added 3 stores (503 total); older-store growth
Key facts
- net profit ₹860.44 cr up 11.33%
- revenue ₹18,794.53 cr up 14.9%
- PAT margin 4.6%
- total expenses ₹17,637.17 cr up 15.11%
- 3 new stores added
- 503 total stores
- older-store growth 5.5%
- DMart Ready in 11 cities, exited 7
Why this matters
The DMart Ready retreat from 7 cities to focus on 11 signals a disciplined pivot toward profitable e-grocery clusters, potentially opening room for regional partnerships or last-mile tie-ups.
What to watch
- Same-store (LFL) growth trend in next 2 quarters — break below 5%
- Gross and PAT margin trajectory vs 4.6% baseline
- Store addition pace vs prior-year run-rate
- DMart Ready GMV and city footprint disclosures
- Quick-commerce grocery penetration data in DMart core metros
- Reallocate capex from DMart Ready dark stores toward physical store expansion in tier-2/3 markets
- Accelerate private-label mix to defend gross margin against quick-commerce discounting
- Selective urban store-format experiments to counter same-store deceleration
- Management commentary reframing DMart Ready as focused-city profitability play rather than growth engine