DMart Q1 net rises 2.5% to Rs 659 crore, sales up 18% to Rs 11,865.4 cr

Retail chain D-Mart operator Avenue Supermarts Ltd on Saturday reported a 2.46 per cent rise in its consolidated net profit at Rs 658.71 crore in April-June 2023 quarter, as lower sales of apparel and general merchandise impacted margins. The company had posted a net profit of Rs 642.89 crore in the corresponding quarter a year ago, said Avenue Supermarts in a BSE filing.

Its revenue from operations was up 18.20 per cent to Rs 11,865.44 crore during the quarter under review as against Rs 10,038.07 crore in the same quarter last fiscal.

Avenue Supermarts' total expenses were at Rs 11,006.92 crore, up 19.74 per cent in first quarter of FY24. The total income of Avenue Supermarts in the June quarter was at Rs 11,904.18 crore, up 18.24 per cent.

Avenue Supermarts CEO & Managing Director Neville Noronha said: "Overall gross margins are lower compared to the same period in the previous year, primarily due to lower sales contribution of apparel and general merchandise.

"However, general merchandise contribution is recovering and trending towards pre-pandemic levels," he added.

During the June quarter, D-Mart opened three new stores, taking the total count to 327 with a retail business area of 13.5 million square feet.

D-Mart operates across Maharashtra, Gujarat, Daman, Andhra Pradesh, Karnataka, Telangana, Tamil Nadu, Madhya Pradesh, Rajasthan, NCR, Chhattisgarh and Punjab.