Avenue Supermarts shares rise 4% as Q1 profit zooms six-fold

Shares of Avenue Supermarts gained nearly 4 per cent today after the firm reported a six-fold increase in net profit for the quarter ended June, 2022. The large cap stock opened with a gain of 2.05 per cent at Rs 4,023 today against the previous close of Rs 3,942.05 on BSE.

Later, shares of the D-Mart operator touched an intraday high of Rs 4,091.9, gaining 3.8 per cent on BSE.

Total 1.07 lakh shares of Avenue Supermarts changed hands amounting to a turnover of Rs 42.55 crore on the BSE. Market cap of the firm rose to Rs 2.57 lakh crore on BSE.

The share hit a 52-week low of Rs 3,185 on May 16, 2022 and a 52-week high of Rs 5,899.10 on October 18, 2021.

Avenue Supermarts stock is trading higher than 5-day, 20-day, 50-day and 100-day moving averages but lower than 200 day moving averages. Avenue Supermarts shares have gained 17.25 per cent in a year and fallen 15.16 per cent since the beginning of this year.

Avenue Supermarts logged a 490.30 per cent year-on-year rise in standalone net profit at Rs 680 crore for the quarter ended June compared with Rs 115 crore in the same quarter last year.

In a business update, DMart said its standalone revenues jumped nearly two-fold to Rs 9,806.89 crore in the June quarter from Rs 5,031.75 crore in the year-ago quarter. Analysts had expected a multifold rise in the retailer's profit on a low base.

EBITDA margins in Q4 came at 10.3 per cent compared with 4.4 per cent in the year-ago quarter. The standalone PAT margin stood at 6.9 per cent in Q1FY23 as compared with 2.3 per cent in Q1FY22.

CEO & Managing Director Neville Noronha said his company ended the quarter with growth across all key financial parameters. "There has been a very good recovery of overall sales," he said.

Consolidated net profit jumped multifold to Rs 643 crore compared with Rs 95 crore YoY. Consolidated revenues zoomed two-fold to Rs 10,038 crore against Rs 5,183 crore in the corresponding period of last year.

ALSO READ: Avenue Supermarts stock climbs 5% on two-fold rise in Q1 revenue

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