DMart parent company Avenue Supermarts posted a 3.85 per cent Year-on-Year profit growth in the second quarter of fiscal year 2025-26. The company reported a net profit of Rs 684.8 crore in Q2 FY26, compared to Rs 659.4 crore in Q2 FY25.
However, on a quarterly basis, the company’s profit declined 11.38 per cent as its net profit in Q1 FY26 was Rs 772.8 crore.
Furthermore, the DMart parent company reported a revenue of Rs 16,676 crore in Q2 FY26. The company’s revenue increased by 15.4 per cent YoY and was down 1.94 per cent on a QoQ basis. DMart’s revenue in Q2 FY25 and Q1 FY26 was Rs 14,444 crore and Rs 16,359 crore, respectively.
DMart profit margin takes a hit
DMart posted an EBITDA of Rs 1,230 crore in Q2 FY26, an increase of 11.3 per cent YoY. In the corresponding period of the last fiscal year, the company’s EBITDA was Rs 1,1105 crore. Its EBITDA margins compressed to 7.6 per cent in Q2 FY26 from 7.9 per cent in Q2 FY25.
DMart’s profit after tax (PAT) margin also squeezed to 4.6 per cent in the current quarter, compared to 5 per cent in Q2 FY25.
“Following the government’s recent announcement on GST reforms, we passed on the benefit of reduced GST rates to all our customers, wherever applicable.”, Anshul Asawa, CEO-Designate, Avenue Supermarts, said in a statement.
Store additions
DMart stated that it has opened eight new stores in the second quarter of the current fiscal year. The company added that its total store count has reached 432 stores.
“We added 10 new fulfilment centres in our existing markets and continued to invest and deepen our presence in the large metro cities. We ceased operations in five cities, namely Amritsar, Belgavi, Bhilai, Chandigarh, and Ghaziabad, during the quarter. We are now present across 19 cities in India”, Vikram Dasu, Whole Time Director and CEO, Avenue E-Commerce said.