DMart Q3 results: Avenue Supermarts net profit rises 18.3% YoY to ₹856 crore, Board announces change in management

DMart Q3 Results: Avenue Supermarts announced the October to December quarter earnings for FY26 on Saturday, January 10, 2025. The company reported an 18.3% rise in consolidated net profit to ₹856 crore in the third quarter of the 2026 fiscal, compared to ₹724 crore in the same quarter a year ago, according to an exchange filing.

Meanwhile, the company's standalone net profit stood at ₹923.05 crore for the quarter ended on December 31, 17.6% higher than the same period the previous year at ₹784.65 crore.

The company's revenue from operations rose 13.3% to ₹18,100.88 crore for the quarter under review, compared to ₹15,972.55 crore in the same period.

The total expenses of Avenue Supermarts for the third quarter of FY26 surged by 12.9% to ₹16,942.62 crore, compared to ₹15,001.64 crore in the same period a year ago.

The earnings per share (EPS) for Q3FY26 stood at ₹13.15, up from ₹11.12 in Q3FY25.

The Mumbai-based retailer added ten new stores during the December quarter, pushing its total count to 442 stores across India.

A key highlight of the quarter was a revival in growth from older stores. “Our revenue for the quarter grew by 13.2%. Profit after tax (PAT) grew by 17.6% over the previous year. Two-year-old DMart stores grew by 5.6% in Q3 FY26 as compared to Q3 FY25,” said Anshul Asawa, chief executive officer (CEO) of the company.

Food and grocery products continued to dominate the retailer’s sales mix, contributing 57.19% of total revenue. General merchandise and apparel accounted for 22.98%, while non-food FMCG contributed 19.83%.

“Revenue growth was partially impacted due to deflation in staples,” said Asawa.

While the company reiterated its commitment to the ‘everyday low cost’ model, it did not share any forward-looking statements on growth or store additions.

Avenue Supermarts share price

Avenue Supermarts shares closed 0.43% higher at ₹3,805.10 after the Friday market session. The company announced the results at market closing hours on Saturday. On Friday, Avenue Supermarts share price opened at ₹3,788.55.

Change in management

This quarter witnessed the completion of Neville Noronha’s tenure, who served as the executive for the company for almost two decades.

Asawa succeeds Noronha and will now spearhead the country’s largest retailer at a time when it is grappling with intense competition from quick commerce players for everyday groceries delivered within 10 minutes.

This quarter, the company experienced changes in its senior management personnel due to an updated reporting structure, as indicated in the company's exchange filing. As a result, the following individuals were designated as Senior Management Personnel, effective February 1, 2026: Sachin Jaolekar as Vice President of FMCG, Dastgir Shaikh as Vice President of General Merchandising, Shyam Gupta as Head of Apparels, and Rushabh Ghiya as Head of Investor Relations and Chief of Staff.

This is particularly interesting because this is the second time there has been a change in the company’s reporting structure since it went public in 2017.

Earlier in 2024, the Dmart leadership team consisted of 7 members- The Managing Director and CEO, a whole-time director and Group CFO, another whole-time director, a Chief Operating Officer (Retail), a Chief Financial Officer, a Vice President Category (FMCG) and a CEO of Avenue E-Commerce Ltd.

This seven-member team later expanded to twice its size, consisting of 14 members. Additionally, to the roles mentioned above, there was a Chief Human Resource Officer, a Group Chief Digital and Information Officer, a CEO for Align Retail Trades Pvt Ltd, A Chief Operating Officer for South, North and West and three different heads each for projects, pharmacy and food services.

Now this 14-member team is further reduced to a four-member team, showing a more streamlined reporting structure and also the first change the company has undergone since Asawa took the helm as the CEO.

What does Q3 result reflect?

According to Sandeep Abhange, consumer and staples equity research analyst at LKP Securities, said the quarter reflected DMart’s ability to protect profitability despite a subdued consumption environment. “Revenue growth was in line with expectations, but EBITDA and PAT exceeded estimates, driven by operating leverage and tight cost control,” Abhange said. He said that margin expansion of around 50 basis points year-on-year underscored the company’s cost discipline.

However, Abhange flagged that demand indicators remain soft. “Like-for-like growth of 5.6% continues to be muted, largely due to staples deflation and the absence of a low base. Revenue per square foot was largely flat year-on-year, pointing to limited improvement in throughput,” he said.

According to him, DMart’s disciplined pace of store additions and streamlined leadership structure reinforce its focus on efficiency and earnings resilience, even as a meaningful recovery in volumes remains a key near-term monitorable.

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