Avenue Supermarts consolidated net profit dropped by 2.2 percent in the fourth quarter of the budget yr 2024-25 (Q4fy25) to RS 551 Crore due to lower operational margins.
The company that runs the DMART supermarket and hypermarket chain has recorded a 16.8 % increase in total revenues to 14 872 Crore from 12 727 CRERE during the last yr.
Earnings against interest, tax, cushioning and depreciation (EBITDA) in the end of the march was 955 RS, compared to 944 Crre RS in the appropriate quarter of last yr. The EBITDA margin was 6.4 percent in Q4fy25 compared to 7.4 percent at Q4Fy24. In the budget yr 25, its total revenue was 59 358 CRERE RS, compared to 50 789 CRRE in a budget yr 24.
Commenting on the company’s results, Neville Noronha, general director and managing director, Avenue Supermarts said in release from the activities of bricks and mortars: “Our revenues in 4ffy25 increased by 16.7 percent compared to DMART Degot Store. Q4fy25 compared to 10.3 percent in Q4fy24.
He explained that in the quarter of January, the marker recorded an increased competitive intensity in the FMCG space, which affected its gross margins, a rise in basic position salaries due to the mismatch of demand / supply of qualified workforce and further investments in improving its levels of services in relation to faster returns in the field of availability, money registers, money registers. He also said that in the quarter he had many store holes.
“Anshul Asawa, our CEO, joined us in mid-March, 2025 and undergoes a detailed familiarization and understanding of the organization. He should take control of all operational aspects of retail activities in the next 4-5 months.” This will allow me to spend more time on the Acquire of vaults, e-commerce and other points of non-restoration of economic activity, Noronha told me.
He also said that the company’s general business continues to be resistant to the metro cities. “However, we are doing much better in towns other than a subway. We also have a relatively better increase similar to similar growth in metro cities, which have a much lower density of DMART stores. While general gross margins in mature metro towns will remain soft for some time, our position is well anchored in the minds of Dmart stores,” he added.
In his e-commerce dmart business, Noronha said that he was growing thoroughly in key metro cities. “We closed several pickup points (puppies), but our home delivery channel is growing strongly and compensated for more for the lack of sales of puppies. This yr there was a yr of reset and review. However, it also gives us certainty that our model is scalable and suitable for the Metro City Shopper store, which appreciates Dmart ready for positioning values and assortment.
“Thanks to the Dmart Store industry supplemented by our re -position Dmart Ready, presence in selected cities, we believe that our ability to operate the requiring values of buyers will only be strengthened, although the profitability of an independent online segment can be some time,” added Noronha.
