DMart revenue up 15% in Q1; older metro stores flat
Avenue Supermarts reports steady quarter with 12.8% profit growth, but management flags stagnation in mature metro outlets. E-commerce consolidation continues as DMart Ready exits 7 cities.
— 3 earlier stories on Avenue Supermarts Ltd. →What's new
- Standalone revenue ₹18,343 cr, +15.1% YoY; net profit ₹936 cr, +12.8%
- EBITDA margin at 8.3%, marginally higher than year ago
- MD Asawa: older metro stores flat; non-metro strong; DMart Ready exits 7 cities
Why this matters
DMart delivered a steady quarter, but flat growth in older metro stores signals core big-city markets are maturing. E-commerce consolidation suggests cost discipline over scale. With a P/E of 94x, the market has priced in acceleration, not steady-state.
What we're watching
- Store addition pace (3 this quarter; annual trajectory?)
- Metro store performance: temporary stagnation or structural?
- DMart Ready strategy in remaining 11 cities
The full read
DMart's June quarter numbers are solid: revenue of ₹18,343 crore (up 15.1%), net profit of ₹936 crore (up 12.8%), and EBITDA margin of 8.3%, all slightly above last year. But Managing Director Anshul Asawa flagged that older stores in large metros were flat, even as non-metro stores drove growth. The company added 3 stores for a total of 503. Meanwhile, DMart Ready pulled out of 7 marginal cities, now operating in only 11. That's a sign of discipline: no point burning cash in low-potential markets. The results are consistent with DMart's steady, capital-efficient model. But at a trailing P/E of 94x, steady is all that's priced in. The open question is whether the metro stagnation is temporary or the beginning of a trend. For now, DMart is holding its ground but not accelerating.
Questions answered
- How did DMart's revenue growth compare to its trailing growth?
- Revenue grew 15.1% this quarter, slower than the trailing 18.9% from the prior comparable period.
- Why are older metro stores seeing flat growth?
- MD Anshul Asawa cited no specific reason but noted flat performance in large metro outlets, while non-metro stores continued to perform well.
- What is the current store count and how many new stores opened?
- DMart had 503 stores at quarter end, adding 3 during the quarter.
- What happened to DMart Ready's operations?
- DMart Ready discontinued operations in 7 marginal cities and now operates in 11 cities.
- What is the EBITDA margin and how did it change?
- EBITDA margin was 8.3%, marginally higher than a year earlier.
- Is the profit growth sustainable given metro slowdown?
- Profit growth of 12.8% was driven by overall revenue expansion. If metro stagnation widens, it could pressure future margins as the company relies on non-metro growth.
Avenue Supermarts Ltd.
Latest quarter · Jun 2026
Strength & growth
Story so far
All notes on DMART →- 11 Jul 2026 · 4:01 PM IST DMart revenue up 15% in Q1; older metro stores flat
- today DMart keeps same-store growth at 8.1% as quick commerce bites
- 17d ago DMart June-quarter profit surges 48% as revenue climbs 15%
- 17d ago DMART's Q1 profit rises to ₹936 cr, operating margin ticks up