Trent shares jump 4% ahead of board meet to consider bonus issue on April 22

Shares of Trent rallied as much as 4% to their day’s high of Rs 4,261 on the BSE on Friday after the company announced that its board will meet on April 22 to consider a bonus share issue, subject to shareholder approval, along with the announcement of its financial results on the same day.

The board will also take up several other proposals, including a recommendation for dividend payout and a plan to introduce an employee stock option scheme for eligible employees. In addition, the company will seek approval to raise funds through the issuance of equity shares, either via a rights issue or other permitted routes.

In its recent quarterly update, Trent reported a 20% year-on-year rise in standalone revenue to Rs 4,937 crore. As of March 2026, its store network expanded to 1,286 outlets, comprising 300 Westside stores, 963 Zudio stores and 23 stores under other lifestyle formats.


For the fourth quarter, analysts expect operating profit to decline. Goldman Sachs estimates sales growth of around 18%, largely driven by like-for-like growth. This is aided by a favourable base, as like-for-like growth in Q4 FY25 was in the mid-single digits, down from high single digits in the previous quarter. On this basis, like-for-like growth of around 3% to 4% year-on-year is expected for Q4.

Trent shares, once considered a multibagger, have been under pressure over the past year, declining more than 20% and falling over 50% from its peak of Rs 8,345. Analysts have linked this correction in the Trent share price to concerns around the over-densification of its store network. Rapid expansion, especially in the Zudio segment, has resulted in overlapping stores within cities, leading to internal competition and, in some locations, pressure on sales, including instances of negative growth.

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In the December quarter, Trent reported a modest 3% increase in profit to Rs 513 crore, while revenue rose 15% compared to the same period last year. Citi has maintained a Sell rating on the stock, citing concerns over rising competition, possible cannibalisation and continued expansion into tier 2 and tier 3 markets, which could weigh on future performance.

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