Avenue Supermarts, the parent company of D-Mart, has announced its Q2 results for FY 2024-25. The company has reported a significant increase in profit and revenue. Net profit for the quarter stood at ₹1,454 crore, a growth of 22.1% year-on-year (YoY). Revenue from operations also saw a substantial increase, rising by 18.5% YoY to ₹28,644 crore.
The company’s operating profit margin (OPM) expanded by 120 basis points (bps) to 7.2% during the quarter. The OPM was driven by a 240 bps expansion in gross margin and a 120 bps reduction in operating expenses as a percentage of revenue.
Radhakishan Damani, the founder and chairman of Avenue Supermarts, attributed the strong performance to the company’s focus on operational efficiency, cost control, and investments in technology. The company has also been expanding its store network, with 44 new stores added during the quarter, taking the total count to 323 stores.
The company’s management has maintained its guidance for FY 2024-25, expecting revenue growth of 15-17% and a net profit margin of 5.5-6.1%. The stock of Avenue Supermarts closed 1.4% higher on the BSE, amid a weak broader market.