V2 Retail Limited , one of India's leading value fashion retailers, has reported a robust performance for the first quarter, with significant growth in revenue and profitability. The company also unveiled ambitious expansion plans, including the opening of over 25 new stores and the launch of private label products.

Strong Financial Performance

For Q1, V2 Retail recorded a substantial 52% year-on-year increase in revenue, reaching ₹632.20 crore. This growth was accompanied by a 57% rise in EBITDA to ₹87.20 crore, demonstrating improved operational efficiency. The company's net profit also saw a significant boost, surging 51% to ₹24.70 crore compared to the same quarter last year.

Key Financial Highlights

Expansion and Strategic Initiatives

V2 Retail has outlined several strategic initiatives to drive profitable growth:

1. Store Expansion: The company plans to open over 25 new stores, expanding its retail footprint.
2. Private Label Launch: Introduction of private label products to enhance product offerings and margins.
3. Value Fashion Focus: Continued emphasis on the value fashion segment, catering to the neo-middle class population.
4. Operational Improvements: Recent back-end operational changes are expected to contribute to bottom line recovery.

Operational Highlights

• Total Store Count: 216 stores across 21 states and more than 100 cities
• Retail Area: Approximately 23.49 lakh sq. ft.
• Same Store Sales Growth (SSG): 5% (10% on a normalized basis)
• Volume Growth: 50% year-on-year

Management Commentary

Ram Chandra Agarwal, Chairman & Managing Director of V2 Retail, commented on the results: "As we step into this fiscal year, we are energized by strong tailwinds — powered by innovation, executional agility, and enduring consumer trust. Our relentless focus on customer-centricity, backed by advanced data analytics, trend-led merchandising, and agile supply chain execution, uniquely positions us to lead the next wave of growth in India's value fashion market."

He further added, "With 28 new stores added in the current quarter and a robust pipeline of upcoming locations, our store expansion momentum remains strong. This positions us to set new benchmarks in both customer satisfaction and business performance in the quarters ahead."

Future Outlook

V2 Retail's strong Q1 performance and aggressive expansion plans indicate a positive outlook for the company. The focus on value fashion, coupled with strategic store expansion and the introduction of private labels, is expected to drive growth in the coming quarters. The company's efforts to improve same-store sales performance and operational efficiency are likely to contribute to sustained profitability.

As V2 Retail continues to expand its presence in Tier II and Tier III cities while deepening its foothold in Tier I markets, it is well-positioned to capitalize on the growing demand for affordable, trend-forward fashion in India's evolving retail landscape.

V2 Retail Limited , a leading value retail chain in India, has announced a significant fundraising initiative alongside impressive first-quarter results. The company's board of directors has approved a plan to raise up to Rs. 400 crores through various financial instruments, signaling a robust growth strategy.

Fundraising Initiative

The board of V2 Retail has given the green light to raise funds up to Rs. 400 crores through a mix of securities, including equity shares and other eligible instruments convertible into equity. This fundraising effort will be executed through qualified institutional placements, public offerings, private placements, or preferential allotments, to be conducted in one or more tranches.

To oversee the process, the board has constituted a dedicated committee to handle all matters related to the proposed fundraising. The initiative now awaits shareholder approval and other necessary regulatory clearances.

Strong Q1 Performance

Coinciding with this fundraising announcement, V2 Retail has reported impressive financial results for the first quarter:

• Gross margin improved to 29.5% compared to 29.0% in the same quarter of the previous fiscal year

Operational Highlights

V2 Retail's operational performance for Q1 showcased significant growth:

• The company expanded its retail footprint, operating 216 stores across 21 states and more than 100 cities
• 28 new stores were opened during the quarter
• Same-Store Sales Growth (SSSG) stood at 5%, with strong double-digit growth in May and June
• Volume growth was robust at 50%
• Full-price sales contributed 92% of total sales

Management Commentary

Ram Chandra Agarwal, Chairman & Managing Director of V2 Retail, commented on the results: "As we step into this fiscal year, we are energized by strong tailwinds — powered by innovation, executional agility, and enduring consumer trust. Our relentless focus on customer-centricity, backed by advanced data analytics, trend-led merchandising, and agile supply chain execution, uniquely positions us to lead the next wave of growth in India's value fashion market."

He further added, "By consistently offering fresh, trend-aligned assortments, upholding uncompromising quality, and delivering exceptional value for money, we have driven robust growth across our store network. Our deep understanding of regional consumer preferences, coupled with localized assortments and personalized in-store experiences, has provided a distinct competitive advantage."

The company's strategic expansion into underserved rural markets, while deepening its presence in Tier I and Tier II cities, has helped build a broad and demographically diverse customer base.

With the approved fundraising plan and strong Q1 performance, V2 Retail appears well-positioned to capitalize on growth opportunities in India's dynamic retail landscape. The company's focus on value fashion, coupled with its expanding store network and improving financial metrics, sets a positive tone for its future prospects.

Investors and market watchers will be keenly observing how V2 Retail utilizes the proposed funds to fuel its expansion plans and enhance its market position in the competitive value retail segment.