Last Updated on October 17, 2023 by BFSLTeam BFSLTeam
Table of Content
Introduction
Avenue Supermarts Limited, popularly recognised by its retail brand “DMart,” is a retail giant and one of the most prominent supermarket chains in India. Headquartered in Mumbai, DMart was established in 2002. In the two decades of its existence, the company has achieved remarkable success by offering a wide range of products, including groceries, household items, apparel, and more, all at competitive prices. DMart operates multiple hypermarkets and supermarkets across India, catering to diverse consumer needs.
Additional Read: Q2 Results Dashboard
One of the key reasons for this success is DMart’s commitment to providing value for money and a convenient shopping experience. Backed by efficient logistics and supply chain management, and a strong focus on customer satisfaction the company has expanded rapidly.
Avenue Supermarts became publicly listed in 2017 via the IPO route that made an impressive debut on the stock exchange by listing at almost twice of its issue price. This was a testament to the confidence investors have had in the company’s growth prospects. The company continues to be a leader in the Indian retail sector, known for its commitment to affordability, quality, and a strong presence in both urban and semi-urban markets.
The company declared its Q2, FY 23-24 results on 14 Oct, 2023. Here’s a synopsis of all the key information as made public by the company.
Additional Read: D-Mart Share Price
Key Financial Metrics
Performance Highlights
- Total Consolidated Income: ₹ 12,661.29 Cr
- Profit Before Tax: ₹ 851.94 Cr
- Net Profit: ₹ 623.35 Cr
- Net Profit Decline: 9.09% YoY
Avenue Supermarts Limited saw an increase in its overall revenue for the quarter that ended on 30 Sep, 2023. The consolidated revenue was reported to be ₹ 12,624.37 Cr which is up by an impressive 18.66% from Q2 FY 22-23. However, the spike in revenues did not reach the expected mark for profits. Most analysts had pegged the Q2 consolidated profits to be in the range of ₹ 675 Cr, whereas the actual figure is ₹ 623.35 Cr – 9.09% than Q2 last year. The standalone net profit, too, fell sharply to ₹ 658.54 Cr instead of ₹ 730.48 Cr for the period of 30 Sep, 2022. Consequently, Earnings Per Share (EPS) saw a slight drop and presently stands at ₹ 9.58 per share.
While the cash flow from operating activities dropped ₹ 3 Cr YoY, the net cash flow saw a jump of ₹ 66 Cr and stood at ₹ 907.19. This is mainly due to the different direct tax amounts (net of refunds) in the two periods under discussion.
Management Commentary
Major Announcements
- Nine new stores launched in Q2.
- Total physical outlet count currently stands at 336 stores.
- 11% growth in average store count.
- 7% year-on-year per-store revenue growth
YoY Comparison: Consolidated Financial Figures
| Q2 FY 2022-23 | Q2 FY 2023-24 | |
| Revenue from operations | ₹ 10,638.33 Cr | ₹ 12,624.37 Cr |
| Total Income | ₹ 10,673.90 Cr | ₹ 12,661.29 Cr |
| Total expenses | ₹ 9,925.95 Cr | ₹ 11,809.35 Cr |
| Profit before tax | ₹ 747.95 Cr | ₹ 851.94 Cr |
| Net profit after tax | ₹ 685.71 Cr | ₹ 623.35 Cr |
| Cash flow from operating activities | ₹ 1,219.60 Cr | ₹ 1,216.85 Cr |
| Net cash flow | ₹ 841,18 Cr | ₹ 907.19 Cr |
Consolidated Balance Sheet
| Q2 FY 2023-24 | |
| Total non-current assets | ₹ 13,901.57 Cr |
| Total current assets | ₹ 5,685.39 Cr |
| Total assets | ₹ 19,586.96 Cr |
| Total equity | ₹ 17,431.10 Cr |
| Total non current liabilities | ₹ 542.88 Cr |
| Total current liabilities | ₹ 1,612.98 Cr |
