Trent looks beyond apparel to focus on beauty, footwear

Trent Ltd is betting on beauty, footwear and innerwear as its next growth engines, looking to turn these businesses into "destination categories" for shoppers as the Tata Group company expands beyond apparel.

Beauty, footwear and innerwear together contributed about 20% of Trent's revenue in FY26, as per the company's annual report. Sales from these categories are estimated to have risen to about ₹4,015 crore in FY26 from ₹3,427 crore in FY25, an increase of nearly 17%.

Beauty has emerged as the fastest-growing segment, with volumes surging from 5 million units in FY22 to 86 million units in FY26, translating into a compound annual growth rate of 103%. Innerwear volumes grew from 6 million units to 58 million units over the same period, while footwear volumes increased from 5 million units to 29 million units, underscoring the growing consumer acceptance of Trent's non-apparel offerings.

In its FY26 annual report, the retailer said it was "enthusiastic" about expanding StudioWest, its beauty and personal care business, into a "destination category". In retail, a "destination category" is a product category strong enough to make customers visit a store specifically for that category. Management also identified footwear and innerwear as key growth opportunities in the years ahead.

Trent's ambition to build beauty into a destination category dates back at least to FY22 through differentiated and attractively priced products. Four years later, the company is extending that vision beyond beauty, positioning all three categories as standalone growth drivers.

The company believes the opportunity remains sizeable. According to the annual report, India's beauty and personal care market is estimated at ₹2.4 trillion and is expected to reach ₹3.8 trillion by FY30. The footwear market is projected to grow from ₹1.04 trillion to ₹1.6 trillion over the same period, while the innerwear market is expected to expand from ₹84,000 crore to ₹1.3 trillion.

Trent has spent more than a decade building these businesses. Westside launched StudioWest in 2009 and has since expanded the portfolio across fragrances, cosmetics, skincare and bath products. The retailer also houses lingerie and loungewear brand Wunderlove under the Westside umbrella. Zudio, launched in 2016, has expanded beyond apparel through offerings such as Zudio Beauty, while footwear is sold through a portfolio of private labels across both Westside and Zudio.

In a June 2026 analyst note, Nuvama Institutional Equities said there were "signs of deceleration" in Trent's emerging categories business as the base catches up. It, however, noted that the segment's share of revenue remaining stable suggests premiumization as value growth continued to outpace volume growth.

Slowing growth in international business

The growing importance of these categories comes as some of Trent's international ventures face challenges. Spanish fast-fashion giant Inditex reported its weakest performance in India in five years, with revenue at its Zara joint venture declining 1.2% to ₹2,749 crore in FY26 and profit falling 32% to ₹204 crore during the period.

In FY25, Trent reduced its stake in Inditex Trent Retail India, which operates Zara stores in the country, from 49% to 34.94% through a buyback offer. It also cut its holding in the Massimo Dutti joint venture from 49% to 20%.

Yet, the company seems bullish in its international expansion. In his letter to shareholders, chairman Noel Tata said it would be "enormously satisfying" to build brands from India that achieve relevance across international markets and that the company should "aspire to generate material revenues from overseas markets".

Nuvama said the management had reiterated that its investments in Zara and Massimo Dutti are “a purely financial arrangement" and have "no bearing on the business operations”.