Avenue Supermarts shares tumble 5% after posting Q1 business update

Shares of Avenue Supermarts, the operator of DMart stores, declined 5% to Rs 3,995 on the BSE on Friday after the company reported its business update for the quarter ended June 30, 2026, including growth in revenue and store additions.

The retailer reported standalone revenue of Rs 18,343.5 crore for the June quarter, up 15.1% from Rs 15,932.1 crore in the corresponding period last year. During the quarter, the company added three stores, taking its total store count to 503. Its store network expanded 18.6% year-on-year. As of June 30, 2026, Avenue Supermarts had 503 stores, including one store at Sanpada, Navi Mumbai, Maharashtra, which is currently closed for customers due to reconstruction.

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The company has also scheduled a board meeting on July 11 to consider raising funds through the issuance of debt securities.

DMart Q4 snapshot

Avenue Supermarts reported a net profit of Rs 656.6 crore for the March quarter of FY26, marking a jump of 19% from Rs 550.90 crore posted in the corresponding quarter of the previous financial year.

The company’s revenue from operations also gained 19% to Rs 17,684 crore versus Rs 14,872 crore reported in the same period last year, the company said in a regulatory filing.

The company reported a strong operating performance for Q4, with EBITDA rising 26.7% year-on-year to Rs 1,210.5 crore from Rs 955.1 crore. Margins also improved, expanding to 6.85% from 6.42% in the same period last year.

Avenue Supermarts continued its expansion momentum in Q4FY26, adding 58 stores during the quarter and crossing the milestone of 500 DMart stores. Profitability remained steady, with PAT margin unchanged at 3.7% compared to Q4FY25, while basic earnings per share (EPS) increased to Rs 10.09 from Rs 8.47 a year ago.

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DMart share price is up 13% in 2026 and down 4% in the last one year. In the last 5 sessions, shares of the company are down nearly 3%.

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