Avenue Supermarts LimitedQ2 FY27 Results & Financial Update
Avenue Supermarts Limited: Q2 FY27 consolidated results and company financials – revenue ₹19,644.01 Cr, PAT ₹742.98 Cr. Explore reported YoY/QoQ movements, margins, business drivers and management commentary. This page does not provide a rating, target price or investment recommendation.
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Avenue Supermarts price & chart
Quarter overview
Quarterly earnings analysis
Avenue Supermarts Limited delivered consolidated revenue from operations of INR 19,644.01 crore for the quarter ended September 30, 2026, marking a 4.52% sequential increase compared to INR 18,794.53 crore reported in the preceding quarter ended June 30, 2026.
Total income for Q2 FY27 stood at INR 19,657.54 crore, advancing 4.45% sequentially from INR 18,820.31 crore in Q1 FY27.
Profit before tax (PBT) for the quarter was recorded at INR 1,024.84 crore, contracting 13.38% sequentially from INR 1,183.14 crore in the previous quarter.
Consolidated net profit after tax (PAT) for Q2 FY27 stood at INR 742.98 crore, reflecting a 13.65% sequential decline from INR 860.44 crore in Q1 FY27, resulting in a PAT margin of 3.78% compared to 4.58% in the previous quarter.
Basic earnings per share (EPS) for the current quarter stood at INR 11.40, down from INR 13.20 in Q1 FY27.
The sequential moderation in profitability despite higher top-line performance reflects margin pressures, higher depreciation charges of INR 317.75 crore compared to INR 287.70 crore in Q1, and rising finance costs of INR 63.90 crore against INR 54.28 crore.
Operational footprint continued to expand, with total retail business area reaching 21.4 million square feet at the end of Q2 FY27, accompanied by steady customer footfall represented by 11.1 crore total bill cuts during the quarter.
01 · Business model
What does Avenue Supermarts do?
Avenue Supermarts Limited operates the widely recognized 'D Mart' chain of everyday value retail stores across India, focusing on a deep discount model spanning foods, non-foods, and general merchandise categories.
The company's economic model relies on efficient inventory management, low operating cost structures, ownership or long-term leasing of large-format retail real estate, and passing volume-driven savings directly to consumers under the banner of 'Daily Discounts Daily Savings'.
Its brick-and-mortar footprint is supplemented by 'DMart Ready', an e-commerce fulfillment channel expanding across large urban centers to address online grocery and home-needs demand.
Revenue generation is diversified across three core product groups: Foods (staples, dairy, processed foods, fruits and vegetables), Non-Foods (FMCG home care, personal care, toiletries), and General Merchandise & Apparel (garments, footwear, bed and bath, crockery, and home appliances).
02 · Historical context
What shaped the business before this quarter
Expanded its retail store count from 55 stores across limited states in FY 2011-12 to a multi-state footprint of 518 stores by H1 FY26-27.
Scaled DMart Ready operations from a single city presence in Mumbai (MMR) during 2016-17 to an urban omnichannel network spanning 11 cities in H1 FY27.
Grew aggregate retail business area progressively through cluster-based real estate deployment, reaching 21.4 million square feet by the end of September 2026.
03 · Financial snapshot
Current quarter vs the available comparable
| Metric | Q2 FY27 | Previous quarter |
|---|---|---|
| Revenue from operations | ₹19,644.01 Cr | ₹18,794.53 Cr |
| Total income | ₹19,657.54 Cr | ₹18,820.31 Cr |
| Profit before tax | ₹1,024.84 Cr | ₹1,183.14 Cr |
| Profit after tax | ₹742.98 Cr | ₹860.44 Cr |
| EPS | ₹11.40 | ₹13.20 |
Financial interpretation
What the reported numbers mean
Profit after tax represented 3.8% of reported quarterly operating revenue. This is a calculated net-profit-to-sales ratio, not a company-reported operating margin. It measures the outcome after expenses and tax; it does not, by itself, establish how margins changed versus another period.
Profit before tax was equivalent to 5.2% of quarterly operating revenue. The distinction between pre-tax and post-tax profit matters when interpreting earnings; neither ratio identifies an underlying cost driver without a properly matched comparative period.
Total income exceeded operating revenue by ₹13.53 crore. This is the disclosed difference between the two lines, not incremental sales. The distinction matters when assessing how much of the quarter’s reported income came from the operating top line.
Ratios above are calculated from the reported quarterly figures. They are analytical descriptions, not company-reported margin guidance or an investment recommendation.
04 · Why it moved
Why the quarter looked the way it did
What drove revenue
Revenue from operations grew by 4.52% sequentially to INR 19,644.01 crore in Q2 FY27, driven by volume growth across urban clusters and steady consumer demand.
Total bill cuts across all D Mart stores reached 11.1 crore in Q2 FY27, improving from 11.0 crore in Q1 FY27 and 9.7 crore in Q2 FY26.
Like-for-like (LFL) growth for stores operational for more than 24 months stood at 9.5% for Q2 FY27, recovering from 5.5% in Q1 FY27.
What drove margins
PAT margin contracted by approximately 80 basis points sequentially to 3.78% in Q2 FY27 from 4.58% in Q1 FY27, driven by higher operating expenses, tax expenses, and overheads.
Depreciation rose to INR 317.75 crore (vs INR 287.70 crore in Q1 FY27) and finance costs increased to INR 63.90 crore (vs INR 54.28 crore in Q1 FY27), reflecting ongoing real estate expansion and lease capitalization under Ind AS 116.
05 · Demand, customers & order book
Where demand is coming from
Retail business area at quarter end expanded to 21.4 million square feet in Q2 FY27. Revenue from sales per retail business area square foot (annualized) was INR 8,741, compared to INR 8,571 in Q1 FY27.
06 · Segments, products & geography
Which parts of the business are doing the work
Segments and products
Foods remained the largest revenue contributor at 56.90% for H1 FY27 (comparable to 57.01% in H1 FY26), followed by General Merchandise & Apparel at 23.62% (vs 23.34%) and Non-Foods (FMCG) at 19.48% (vs 19.65%).
Geography and market mix
Total store count reached 518 stores as of H1 FY27, including 18 store additions during H1 FY27. Maharashtra (132), Gujarat (77), and Karnataka (53) remained the largest state clusters.
DMart Ready e-commerce operations maintained presence across 11 major urban centers including Mumbai MMR, Pune, Bangalore, Hyderabad, Ahmedabad, and NCR (Gurugram).
07 · Capacity, projects & execution
What is being built, commissioned or delivered
Capacity, production and utilisation
Total store count reached 518 units by the end of H1 FY27 (inclusive of the Sanpada store in Navi Mumbai currently closed for reconstruction).
08 · Strategy & new businesses
How the company is trying to change its growth mix
Continued focus on large town pick-up point expansion and home delivery services through DMart Ready across 11 cities.
09 · Reported developments
What changed operationally
Consolidated revenue from operations rose by 4.52% QoQ to INR 19,644.01 crore.
Like-for-like sales growth for stores older than 24 months reached 9.5% in Q2 FY27.
10 · Pressure points & risks
What is not going smoothly
Net profit after tax declined by 13.65% sequentially to INR 742.98 crore due to higher depreciation, finance costs, and tax provisioning.
11 · Previous-quarter changes
What changed since the previous quarter
Total bill cuts increased from 11.0 crore in Q1 FY27 to 11.1 crore in Q2 FY27.
12 · Key Q&A
The quarter, answered directly
What does Avenue Supermarts do?
Avenue Supermarts Limited operates the widely recognized 'D Mart' chain of everyday value retail stores across India, focusing on a deep discount model spanning foods, non-foods, and general merchandise categories.
What is the clearest takeaway from Q2 FY27?
Avenue Supermarts Limited delivered consolidated revenue from operations of INR 19,644.01 crore for the quarter ended September 30, 2026, marking a 4.52% sequential increase compared to INR 18,794.53 crore reported in the preceding quarter ended June 30, 2026.
What drove revenue or demand?
Revenue from operations grew by 4.52% sequentially to INR 19,644.01 crore in Q2 FY27, driven by volume growth across urban clusters and steady consumer demand.
What mattered most for margins or profitability?
PAT margin contracted by approximately 80 basis points sequentially to 3.78% in Q2 FY27 from 4.58% in Q1 FY27, driven by higher operating expenses, tax expenses, and overheads.
What changed operationally beyond the headline numbers?
Total store count reached 518 units by the end of H1 FY27 (inclusive of the Sanpada store in Navi Mumbai currently closed for reconstruction).
What are the main pressure points disclosed for the quarter?
Net profit after tax declined by 13.65% sequentially to INR 742.98 crore due to higher depreciation, finance costs, and tax provisioning.
13 · Scenario calculator
Earnings sensitivity: what if growth and margins change?
Build your own next-quarter scenario
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Example: enter 10 for 10% revenue growth. Enter -100 for a 1 percentage-point margin decline.
The calculator holds the selected margin basis constant except for the basis-point adjustment you enter. It does not estimate tax, finance cost, dilution, working capital, valuation or share price.
14 · Next filing checkpoints
What the next disclosure can confirm or change
- 01
Track store addition velocity and regional cluster density in H2 FY27.
- 02
Monitor like-for-like sales growth and revenue per square foot trends across retail stores.
- 03
Observe progress on the Sanpada store reconstruction in Navi Mumbai.
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