Avenue Supermarts Limited announced its standalone and consolidated financial results for the quarter and year ended 31st March, 2026. The company delivered robust performance with significant growth across key metrics, while achieving a major milestone in store expansion. Following the results, leading brokerages have issued a range of ratings and target prices, reflecting divergent views on the company's near-term outlook.

Q4FY26 Standalone Performance

For the quarter ended March 31, 2026, standalone total revenue stood at ₹17,205 crore, representing year-on-year growth of 19.0% compared to ₹14,462 crore in Q4FY25. EBITDA increased 25.5% to ₹1,231 crore from ₹981 crore in the corresponding quarter of the previous year. EBITDA margin improved to 7.2% in Q4FY26 from 6.8% in Q4FY25.

Profit after tax (PAT) for Q4FY26 stood at ₹725 crore, up 16.9% from ₹620 crore in Q4FY25. PAT margin stood at 4.2% compared to 4.3% in the same period last year. Basic earnings per share (EPS) for Q4FY26 reached ₹11.13, compared to ₹9.52 for Q4FY25.

FY26 Standalone Performance

For the full year FY26, standalone total revenue reached ₹66,968 crore, growing 15.9% from ₹57,790 crore in FY25. EBITDA stood at ₹5,255 crore, up 15.7% from ₹4,543 crore in FY25. EBITDA margin was 7.8% in FY26 compared to 7.9% in the previous year.

Net profit for FY26 stood at ₹3,224 crore, up 10.1% from ₹2,927 crore in FY25. PAT margin was 4.8% compared to 5.1% in FY25. Basic EPS for FY26 improved to ₹49.54 from ₹44.98 in FY25.

Consolidated Performance

On a consolidated basis, total revenue for Q4FY26 stood at ₹17,684 crore, up from ₹14,872 crore in Q4FY25. EBITDA increased to ₹1,211 crore from ₹955 crore, with EBITDA margin improving to 6.8% from 6.4%. Net profit stood at ₹656 crore compared to ₹551 crore in the corresponding quarter, with PAT margin at 3.7%. Basic EPS for Q4FY26 was ₹10.09 compared to ₹8.47 for Q4FY25.

For FY26, consolidated total revenue reached ₹68,821 crore, up from ₹59,358 crore in FY25. EBITDA stood at ₹5,187 crore compared to ₹4,487 crore in FY25. Net profit for FY26 was ₹2,970 crore, up from ₹2,707 crore in the previous year. Basic EPS for FY26 stood at ₹45.65 compared to ₹41.61 in FY25.

Store Expansion and Business Updates

The company opened 58 new stores during Q4FY26, reaching a landmark achievement of 500 DMart stores. For the full year FY26, 85 stores were added. As of March 31, 2026, the company had 500 stores with a retail business area of 20.6 million sq. ft. across multiple states including Maharashtra, Gujarat, Telangana, Andhra Pradesh, Karnataka, Tamil Nadu, Madhya Pradesh, Rajasthan, Punjab, NCR, Chhattisgarh, Uttar Pradesh, Daman, Goa, Odisha, Uttarakhand and Haryana.

Two years and older DMart stores grew by 10.8% during Q4FY26 compared to 8.1% in Q4FY25. The company's E-Commerce (DMart Ready) business operates in 18 cities as of March 31, 2026, with focus on key metro towns and renewed emphasis on home delivery as the preferred channel.

Investor Presentation Highlights

The company released its investor presentation for FY26, showcasing comprehensive business metrics and operational achievements. Key highlights from the presentation include total bills cuts of 39.8 crores in FY26, representing steady growth in customer transactions. The like-for-like growth for stores operational for 24 months stood at 8.1% in FY26.

The presentation detailed the company's product category mix, with Foods contributing 57.90% of revenue in FY26, Non-Foods (FMCG) accounting for 19.82%, and General Merchandise & Apparel representing 22.28% of total revenue.

Brokerage Views Post Q4FY26 Results

Leading brokerages have issued divergent ratings on Avenue Supermarts following the Q4FY26 results, with views ranging from high conviction outperform to sell. The table below summarises the key ratings and target prices:

Goldman Sachs maintained a Sell rating with a raised target price of ₹4,000, noting that while Q4 growth improved with sales up 19% and like-for-like (LFL) growth of approximately 10.8% with margins in line, demand was partly one-off. The brokerage acknowledged support from price hikes, store expansion, and lower interest costs, but cited limited upside.

Morgan Stanley rated the stock Overweight with a target price of ₹5,188, highlighting the strong Q4 performance with LFL growth of approximately 10.8% beating estimates, modest margin expansion of approximately 40 basis points, stable operations without supply disruptions, and a transient demand spike normalizing to support a steady growth outlook.

Jefferies maintained a Hold rating with a raised target price of ₹4,500, pointing to a Q4 EBITDA beat of approximately 25% year-on-year, strong double-digit LFL growth, and record store additions of 58 along with expansion into new states. However, the brokerage noted the demand spike was temporary and that DMart Ready continues rationalisation.

CLSA assigned a High Conviction Outperform rating with a target price of ₹6,628, citing strong Q4 EBITDA growth of 25% and PAT growth of 17%, with a margin beat driven by operating leverage despite higher employee costs. The brokerage noted that PAT lagged due to lower other income and higher finance costs from expansion-led borrowings.

Citi retained a Sell rating with a target price of ₹3,650, acknowledging that Q4 growth improved with same-store growth (SSG) of approximately 10.8% and revenue and EPS growth of 19% and 17% respectively, but flagged that the improvement was partly one-off. Citi also highlighted weak free cash flow turning negative, rising debt, profit lagging revenue, and competitive pressure from quick commerce as factors limiting upside.

Avenue Supermarts Limited has completed the allotment of 40,135 equity shares under its Employee Stock Option Scheme 2016, marking another milestone in its employee incentive program. The allotment was approved by the company's Employee Stock Option Committee during its meeting held on 2nd May, 2026.

ESOP Allotment Details

The allotment involves specific parameters that reflect the company's commitment to employee participation in its growth story. The shares were allocated to eligible employees who exercised their stock options under the established scheme.

Impact on Share Capital

The allotment has resulted in an increase in the company's paid-up share capital structure. Following this allotment, Avenue Supermarts' financial position reflects the expanded equity base.

Regulatory Compliance

The company has fulfilled its disclosure obligations by informing the stock exchanges about this corporate action. Avenue Supermarts communicated the allotment details to both BSE and NSE, ensuring compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, specifically under Regulation 30.

The notification was signed by Ashu Gupta, Company Secretary & Compliance Officer, and submitted to the Corporate Relationship Department of BSE and Corporate Communications Department of NSE on 2nd May, 2026.