One of India’s richest CEOs Neville Noronha, who was with Avenue Supermarts for over two decades, has decided to end his tenure with the company. On Saturday, Avenue Supermarts, which runs the DMart chain of stores, said Noronha, 49, will not renew his candidature after his current term ends in January 2026.

Unilever’s Ansul Asawa, an IIT-IIM alumnus, will take over as MD & CEO of the company from February next year. Avenue Supermarts said Asawa will be CEO-designate from March 15, 2025, to ensure a smooth transition. Noronha will aid in the transition process over the next one year, the company said.

“After more than two decades of leadership and a glorious tenure at the helm of the business, Neville has chosen not to extend his contract. The board of directors honours his decision and expresses profound gratitude for his extraordinary contribution to the company,” Avenue Supermarts said in a statement on Saturday.

Noronha has a 1.95% stake in the company at the end of the September 2024 quarter. This is worth Rs 4,676 crore at the end of Friday’s closing price on the BSE. Neville joined DMart in January 2004 and has led the company from its early years to its current position as one of the largest supermarket chains in the country. Avenue Supermarts said that Noronha’s strategy was focused on competent execution articulated in simple and precise terms, which was easy to understand across levels. Under his leadership, DMart reached significant milestones, including surpassing the Rs 50,000 crore annual turnover mark and growing from five stores, when Noronha joined the company, to 387 stores now.

Anshul Asawa, an IIT Roorkee and IIM Lucknow alumnus, will be joining DMart after a 30-year long stint at Unilever where he had leadership roles overseeing the growth of product categories and developing impactful functions in India, Asia, and Europe. He currently serves as country head of Unilever in Thailand and general manager for the home care business unit in Greater Asia.

DMart Q3 net up 5%; revenue up 17%

Avenue Supermarts, which runs the retail chain DMart, on Saturday, reported a 4.8% year-on-year increase in consolidated net profit to Rs 724 crore for the December 2024 quarter (Q3FY25). It reported a net profit of Rs 660 crore in the corresponding period last year.

The retailer saw consolidated revenue grow 17.7% to Rs 15,973 crore versus Rs 13,572 crore reported last year. Earnings before interest tax depreciation and amortisation (Ebitda) grew 8.7% year-on-year to Rs 1,217 crore. Ebitda margin stood at 7.6% in Q3FY25 versus 8.3% reported in the same period last year. PAT margin also decreased to 4.5% versus 5.1% reported last year.

Avenue Supermarts CEO and managing director Neville Noronha said, “The Q3 FY 2025 same-store revenue growth for 2 years and older stores was at 8.3%. However, we continue to see increased intensity in discounting in the FMCG category and the consequent impact to high turnover per square feet stores in metro towns.”

On its online ordering service DMart Ready, Noronha said it grew by 21.5% in the first nine months of FY25.

“In the rapidly evolving dynamics of the grocery e-commerce market, we are seeing significantly more demand for home delivery compared to the pick-up point, and hence, we continue to align our business to that extent,” he added.

Avenue Supermarts’ total expenses in the December quarter rose to Rs 15,001.64 crore from Rs 12,656.46 crore in the same period last year.

As of December 31, 2024, the company had 387 operating stores with a retail business area of 16.1 million sq ft.