DMart Q3 Results: Avenue Supermarts net profit rises 4.7% to ₹723 crore, revenue up 17.6% YoY

DMart Q3 Results: Ace investor Radhakishan Damani-backed Avenue Supermarts, which operates the retail chain DMart, announced its October-December quarter results for fiscal 2024-25 (Q3FY25) on Saturday, January 11, reporting a rise of 4.79 per cent in consolidated net profit at ₹723.72 crore, compared to ₹690.61 crore in the corresponding period last year.

The hypermarket chain operator's revenue from operations in the third quarter of the current fiscal year rose 17.68 per cent to ₹15,972.55 crore, compared to ₹13,572.47 crore in the year-ago period. The company's total expenses in the October-December quarter rose 18.52 per cent to ₹15,001.64 crore from ₹12,656.46 crore in the same period last year.

Also Read: DMart’s Avenue Supermarts CEO Neville Noronha steps down after 20-year stint, Unilever’s Anshul Asawa to be new chief

DMart Q3 Results - Key Metrics

Avenue Supermarts said in a regulatory filing to the stock exchanges that D-Mart follows the Everyday low cost—everyday low price strategy, which aims to procure goods at competitive prices, use operational and distribution efficiency, and deliver value for money to customers by selling at competitive prices.

The Mumbai-based company's total income, which includes other income, was ₹15,996.69 crore, up 17.57 per cent in the December 2024 quarter. On the operational front, the retail chain's earnings before interest, taxes, depreciation, and amortization (EBITDA) in the December quarter rose 8.7 per cent to ₹1,217.3 crore, compared to ₹1,119.9 crore in the year-ago period.

Also Read: Avenue Supermarts Q3 Results Preview: DMart Q3 net profit seen up 15%, revenue growth at 17% YoY on store expansion

EBITDA margin stood at 7.6 per cent in Q3FY25 compared to 8.3 per cent in Q3FY24. The net profit margin stood at 4.5 per cent in the third quarter compared to 5.1 per cent in Q3FY24. The December quarter's Basic Earnings per share (EPS) stood at Rs.11.12, compared to Rs.10.62 for Q3FY24.

“The Q3 FY25 same-store revenue growth for two years and older stores was 8.3 per cent. We continue to see increased discounting in the FMCG category and the consequent impact of high turnover per square feet stores in metro towns. However, the impact has relatively reduced this quarter compared to the previous quarter," said Neville Noronha, CEO & Managing Director of Avenue Supermarts.

Also Read: DMart share price: Radhakishan Damani portfolio stock surges 15% after Q3 business update. Should you buy?

"We stay committed to being the most preferred value retailer near a DMart store or a fulfilment centre of DMart Ready. DMart Ready grew by 21.5 per cent in nine months of FY25. In the rapidly evolving grocery e-commerce market, we see significantly more demand for home delivery than pick-up points, and we continue to align our business to that extent," he added.

Avenue Supermart's home delivery business now far exceeds the pick-up point sales contribution. Noronha said the company will continue to provide both delivery channels as an option for our shoppers in select towns. In several towns, it only operates ‘Home Delivery’ as a delivery channel.

Avenue Supermarts Ltd. announced a leadership transition and top-level management reshuffle today, along with quarterly earnings. Incumbent CEO and MD Neville Noronha has stepped down from his management position after a 20-year stint. Noronha has not offered his candidature to renew his role as MD and CEO at the conclusion of his current term in January 2026.

“After more than two decades of exceptional leadership and a glorious tenure at the helm of the business, Neville has chosen not to extend his contract. The Board of Directors honours his decision and expresses profound gratitude for his extraordinary contribution to the company,” said Avenue Supermarts.

The Board announced Unilever's Anshul Asawa as its CEO Designate. Neville will support Anshul for a smooth transition over the next year as the latter joins the company in March 2025. Anshul is expected to take over as the MD and CEO on February 1, 2026, upon the completion of Neville's term in that position, which is one year from now.

As of December 31, 2024, DMart had 387 operating stores with a 16.1 million sq ft retail business area. Promoted by Radhakishan Damani and his family, DMart retails basic home and personal products across markets, including Maharashtra, Gujarat, Telangana, Andhra Pradesh, Karnataka, Tamil Nadu, Madhya Pradesh, Rajasthan, Punjab, NCR, Chhattisgarh and Daman.

India's leading food and grocery retailer opened 10 new stores during the December quarter. On Friday, January 10, shares of Avenue Supermarts settled 3.34 per cent lower at ₹3,685.70 apiece on the BSE. Today, the retail major boasts a market capitalisation (Mcap) of ₹2,39,840.69 crore.