Avenue Supermarts, the operator of the DMart hypermarket chain backed by Radhakishan Damani, is set to announce its Q3 FY26 results for the quarter ended December 2025 on Saturday, January 10. The earnings are expected to reflect steady revenue growth supported by store additions, while margins are likely to remain under pressure.
On Friday, shares of DMart closed 0.43% higher at Rs 3,805.10, compared with the previous close of Rs 3,788.90.
Business update points to healthy revenue growth
In a preliminary business update filed earlier this month, Avenue Supermarts reported standalone revenue from operations of Rs 17,612.62 crore for the December quarter, marking a 13.2% year-on-year growth over Rs 15,565.23 crore reported in Q3 FY25.
The company continued its expansion during the quarter, ending Q3 FY26 with 442 stores, following net additions during the period. New stores were opened across multiple states, including Andhra Pradesh, Karnataka, Gujarat, Rajasthan, and Tamil Nadu, supporting volume-led growth.
What brokerages expect from Q3 results
Motilal Oswal Financial Services (MOFSL) expects consolidated revenue growth of around 13% YoY, driven largely by 14% growth in store additions. However, the brokerage anticipates muted profitability, projecting PAT growth of about 5% YoY. MOFSL also expects EBITDA margin to contract by around 35 basis points YoY to 7.3%, citing higher retailing costs and lower gross margins.
Axis Direct expects a mixed quarter, with revenue growth of around 15.5% YoY, supported by improving demand in smaller towns and the early festive season. On the margin front, Axis Direct estimates EBITDA margin at around 7.2%, weighed down by higher operating expenses linked to store expansion and weak gross margins. The brokerage expects PAT at Rs 707 crore, up 7.3% YoY.
Systematix Institutional Equities has flagged competitive pressures from quick commerce players and deflationary trends in select categories as near-term headwinds. Systematix expects revenue growth of about 13.2% YoY, EBITDA margin at 7.6%, a contraction of 34 basis points YoY, and PAT growth of 4.4% to Rs 819.6 crore.
Key factors to watch
As DMart reports its Q3 FY26 numbers, investor focus will remain on revenue momentum from store additions, EBITDA margin trends amid rising costs, and profit growth in a competitive retail environment.
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