Avenue Supermarts Posts 53% Jump In Net Profit

On Saturday, Avenue Supermarts (D-Mart) reported a 53.3 percent increase in its standalone profit for the December-ended quarter at Rs 394 crore when compared to Rs 257 crore posted for the same period of the previous year.

The company's revenue for the quarter under review stood at Rs 6,752 crore when compared to Rs 5,451 crore a year ago.

Its EBITDA (earnings before interest, tax, depreciation and amortization) was up from Rs 453 crore to Rs 593 crore on a year-on-year basis in December 2019. EBITDA margin stood at 8.8 percent against 8.3 percent in December 2018.

On a consolidated basis, the supermarket chain's net profit stood at Rs 384 crore for the third quarter of the financial year 2019-20 against Rs 247 crore profit in the corresponding period of the previous year.

PAT (profit after tax) margin for the quarter rose to 5.6 percent from 4.5 percent a year ago.

"Our topline growth was in line with estimates. PAT margin improvement partly reflects the benefit due to revision in corporate tax rates. We have opened 20 stores during the first nine months of this financial year,' said Neville Noronha, CEO and Managing Director of Avenue Supermarts.

Shares of Avenue Supermarts closed 0.45 percent lower at Rs 1872 on Friday.