Shares of Avenue Supermarts, which operates the DMart retail chain, moved higher in early trade on Monday, January 12, after the company reported a strong set of earnings for the December quarter of FY26, supported by healthy revenue growth and improved margins.
The stock rose nearly 2% after Avenue Supermarts posted an 18.27% year-on-year increase in consolidated net profit at Rs 855.78 crore for Q3FY26, compared with Rs 723.54 crore in the same quarter last year. Revenue from operations during the quarter grew 13.32% YoY to Rs 18,100.88 crore, up from Rs 15,972.55 crore in Q3FY25, reflecting steady demand across its store network despite price deflation in staples.
The company’s profit after tax margin improved to 4.7% in Q3FY26 from 4.5% a year ago, indicating better operating efficiency. Total expenses during the quarter increased 13% to Rs 16,942.62 crore, broadly in line with revenue growth, while total income, including other income, rose 13.25% to Rs 18,117.81 crore.
Commenting on the performance, CEO-designate Anshul Asawa said that revenue growth was partially impacted due to deflation in staple categories, even as the company continued to focus on cost discipline and operational execution.
Alongside the quarterly results, the board approved the appointment of Anshul Asawa as Chief Executive Officer. He will become a Key Managerial Personnel from February 1, 2026, and will take charge as Managing Director from April 1, 2026, for a term of three years, subject to shareholder approval.
