DMart Q2 results: Avenue Supermarts profit rises to Rs 685 crore, revenue up 15%

Avenue Supermarts Ltd, which operates the retail chain DMart, reported a modest 4 per cent year-on-year (YoY) increase in its consolidated net profit for the second quarter of fiscal year 2025-26. 

The company announced in a regulatory filing on Saturday that its profit after tax (attributable to the equity holders of the parent) stood at Rs 685.01 crore for the quarter ending September 30, 2025, compared to Rs 659.58 crore in the same period last year.

The retail giant posted a robust 15.5 per cent YoY growth in its revenue from operations, which climbed to Rs 16,676.30 crore in Q2 FY26 from Rs 14,444.50 crore in the corresponding quarter of the previous fiscal year. Sequentially, the revenue saw a slight uptick from Rs 16,359.70 crore reported in the quarter ended June 30, 2025.

Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 11 per cent to Rs 1,213.8 crore for the quarter, up from Rs 1,093.8 crore a year ago.

However, the operating margin saw a contraction, declining to 7.28 per cent in Q2 FY26 from 7.57 per cent in Q2 FY25. The net profit margin for the quarter also slipped to 4.11% from 4.57 per cent in the year-ago period.

The company's total expenses for the quarter rose to Rs 15,751.08 crore from Rs 13,574.83 crore in the same quarter last year. A significant portion of this increase was driven by higher purchases of stock-in-trade, which stood at Rs 14,918.81 crore, and a rise in employee benefit expenses to Rs 376.83 crore.