NewsEarningsDMart Q3 FY26 Results: Avenue Supermarts Reports 18.3% Profit Growth, Revenue Up 13.3%DMart Q3 FY26 Results: Avenue Supermarts Reports 18.3% Profit Growth, Revenue Up 13.3%
Avenue Supermarts Ltd reported strong Q3 FY26 results with net profit rising 18.3% to ₹856 crores and revenue growing 13.3% to ₹15,973 crores. EBITDA increased 20.2% to ₹1,463 crores with margin expansion to 8.1%. The company opened 10 new stores during the quarter, reaching 442 total stores, while same-store sales for mature stores grew 5.6%.
*this image is generated using AI for illustrative purposes only.
Avenue Supermarts Ltd, which operates the popular DMart retail chain, delivered strong financial results for the third quarter of FY26, demonstrating resilient performance amid challenging market conditions. The company reported significant growth in both profitability and revenue, supported by improved operational efficiency and steady consumer demand across its retail network.
Financial Performance Highlights
The company's quarterly financial performance showed robust growth across key metrics:
| Metric | Q3 FY26 | Q3 FY25 | Growth (%) |
|---|---|---|---|
| Net Profit | ₹856 crores | ₹724 crores | +18.3% |
| Revenue | ₹15,973 crores | ₹14,098 crores | +13.3% |
| EBITDA | ₹1,463 crores | ₹1,217 crores | +20.2% |
| EBITDA Margin | 8.1% | 7.6% | +50 bps |
| Basic EPS | ₹13.15 | ₹11.12 | +18.3% |
The improvement in EBITDA margin to 8.1% from 7.6% in the previous year indicates enhanced operational efficiency and better cost management. This margin expansion, coupled with strong revenue growth, contributed to the significant increase in profitability.
Operational Updates and Store Expansion
Anshul Asawa, CEO-Designate of Avenue Supermarts Limited, provided insights into the company's operational performance and growth strategy. The company successfully opened 10 new stores during the quarter, expanding its total store count to 442 as of December 31, 2025.
Same-store sales growth remained positive, with stores that are two years and older recording a 5.6% growth in Q3 FY26 compared to the same period in the previous year. However, Asawa noted that revenue growth was partially impacted due to deflation in staples, highlighting the challenging pricing environment in essential commodities.
Nine-Month Performance Overview
The company's nine-month performance for FY26 demonstrated consistent growth momentum:
| Parameter | 9M FY26 | 9M FY25 | Growth (%) |
|---|---|---|---|
| Total Revenue | ₹51,137 crores | ₹44,486 crores | +15.0% |
| EBITDA | ₹3,976 crores | ₹3,532 crores | +12.6% |
| EBITDA Margin | 7.8% | 7.9% | -10 bps |
While the nine-month EBITDA margin showed a slight decline to 7.8% from 7.9% in the previous year, the absolute EBITDA growth of 12.6% reflects the company's ability to maintain profitability while scaling operations.
Market Position and Growth Strategy
Avenue Supermarts continues to strengthen its position in the Indian retail market through strategic store expansion and operational improvements. The company's focus on maintaining steady growth in same-store sales while expanding its footprint demonstrates a balanced approach to growth and profitability. The consistent performance across quarters, despite challenges such as commodity deflation, underscores the resilience of the DMart business model and its appeal to value-conscious consumers.
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