Retail company Trent, part of the Tata Group, reported a 55% year-on-year decline in net profit for the fourth quarter of FY25, despite strong growth in both revenue and Ebitda during the period.
The company posted a net profit of Rs 318 crore in Q4FY25, compared to Rs 704 crore in the same quarter last year. However, the company clarified that the base quarter (Q4FY24) had benefited from an exceptional gain of Rs 543 crore. After tax, this gain amounted to Rs 406 crore, significantly boosting net profit in that period. Excluding this one-time gain, earnings per share (EPS) for FY24 would have stood at Rs 28.95.
Bloomberg consensus estimates had projected Trent’s consolidated net profit for Q4FY25 at Rs 400 crore.Despite the dip in bottom line, Trent’s consolidated revenue rose nearly 28% year-on-year to Rs 4,217 crore in the March quarter, up from Rs 3,298 crore a year earlier. This figure came in slightly below street estimates of Rs 4,401 crore.
Earnings before interest, tax, depreciation and amortisation (Ebitda) rose nearly 39% to Rs 652 crore in Q4FY25, compared to Rs 470 crore a year earlier. This was marginally below Street expectations of Rs 670 crore.
Ebitda margins improved to 15.5%, up from 14.2% last year—an expansion of 130 basis points. One basis point equals one-hundredth of a percentage point.Trent, which operates popular retail chains such as Westside, Zudio, and Star, also saw its total consolidated income—including other income—increase by 27.19% to Rs 4,291.28 crore.
The company also declared a dividend of Rs 5 per share on Tuesday.“In FY25, we built on the agenda of strongly growing our reach and becoming more accessible to our customers. Given the seasonality of the business, nature of the real estate market and our approach to inventory management, the full year performance is more representative with respect to revenues, operating profitability and network expansion vis-à-vis any individual quarter,” Noel Tata, chairman of Trent, said. Trent now operates a portfolio of over 1,000 ‘large-box’ fashion stores—retail outlets that typically house a wide range of clothing and fashion products under one roof.
In FY25, the company opened 40 Westside stores and 244 Zudio stores, while merging or closing 24 outlets each from both brands as part of a broader consolidation effort.As of March 31, the retailer’s footprint included 248 Westside stores, 765 Zudio stores (including two in the UAE), and 30 outlets across other lifestyle concepts.During the year, Trent expanded into 64 new cities and towns—including many in Tier-2 and Tier-3 regions—bringing its total presence to 242 cities across India.