V Mart Retail , a prominent player in the Indian retail sector, has reported robust growth and expansion in the second quarter. The company's performance highlights its strategic focus on market penetration and product diversification.

Key Highlights

Growth and Expansion

V-Mart Retail demonstrated strong performance in Q2, achieving a 22% total growth rate. The company's like-to-like sales growth stood at 11%, indicating healthy performance in existing stores.

In line with its expansion strategy, V-Mart opened 25 new stores during the quarter, marking its highest quarterly store addition. The company plans to continue this momentum, aiming to add a total of 75 stores for the full fiscal year.

Financial Performance

V-Mart maintained its gross margins at 33.6%, showcasing its ability to manage costs effectively despite the expansion drive. The company's offline business achieved a positive EBITDA of 8.9%, reflecting operational efficiency.

Strategic Initiatives

The retailer is actively expanding its presence in southern India, tapping into new markets for growth. Additionally, V-Mart is diversifying its product range by introducing new categories such as cosmetics and artificial jewelry, potentially appealing to a broader customer base.

This multi-pronged approach of geographical expansion, store network growth, and product diversification positions V-Mart Retail to capitalize on the evolving Indian retail landscape.

V Mart Retail Limited, a prominent player in India's value fashion retail sector, has taken a significant step to enhance employee engagement and ownership. The company announced the allotment of 51,893 new equity shares under its Employee Stock Options Scheme (ESOP) 2020, as approved by the Nomination & Remuneration Committee on November 10, 2025.

Key Details of the Allotment

• Number of Shares Allotted: 51,893 equity shares
• Face Value: Rs. 10.00 per share
• Date of Allotment: November 10, 2025
• Scheme: Employee Stock Options Scheme, 2020

Impact on Share Capital

The allotment has resulted in an increase in V-Mart's total equity shares:

This represents an increase of approximately 0.07% in the company's total number of outstanding shares.

Significance of the ESOP Allotment

Employee Stock Option Plans are strategic tools used by companies to align employee interests with those of shareholders. By offering equity ownership, V-Mart Retail aims to:

1. Enhance employee motivation and retention
2. Foster a sense of ownership among staff
3. Align employee goals with long-term company performance

Recent Corporate Actions

V-Mart has been active in its equity-related activities. Earlier this year, the company issued bonus shares in the ratio of 3:1, significantly expanding its equity base. This ESOP allotment follows that major corporate action, indicating V-Mart's continued focus on equity-based incentives.

Financial Context

While this ESOP allotment is a positive move for employee engagement, it comes at a time when V-Mart has reported mixed financial results:

• Revenue: Rs. 807.00 crore, up 22% year-on-year
• EBITDA: Rs. 72.00 crore, an 85% increase year-on-year
• Net Loss: Rs. 9.00 crore, improved from a loss of Rs. 57.00 crore in the previous comparable period

The company has shown strong top-line growth and EBITDA improvement, despite facing challenges in profitability.

Conclusion

V-Mart Retail's decision to allot these ESOP shares demonstrates its commitment to employee welfare and long-term value creation. As the retail sector continues to evolve, such measures may play a crucial role in maintaining a motivated workforce and driving sustainable growth.

Investors and stakeholders will likely keep a close eye on how this increased employee ownership translates into operational performance and market value in the coming quarters.