Representational photo
| Photo Credit: M. MOORTHY
Avenue Supermarts Ltd., which owns and operates the retail chain D-Mart, on Saturday reported a 6.71% increase in consolidated net profit to ₹589.64 crore for the third quarter ended on December 31, 2022.
The company had posted a net profit of ₹552.53 crore in the October-December quarter a year earlier, Avenue Supermarts said in a BSE filing.
Revenue from operations was up 25.50% to ₹11,569.05 crore during the quarter under review as against ₹9,217.76 crore in the corresponding quarter of the last fiscal.
Avenue Supermarts’ total expenses were at ₹10,788.86 crore, up 27.02% in the third quarter of 2022-23 against ₹8,493.55 crore in the corresponding quarter of the last fiscal.
Commenting on the performance of D-Mart’s brick & mortar business, Avenue Supermarts CEO & MD Neville Noronha said, “FMCG and staples segment continued to outperform the general merchandise and apparel segments. Gross margin percentage decline over the corresponding quarter of last year is a reflection of this mix change.”
He added that discretionary non-FMCG sales did not do as well as expected in this quarter.
During the quarter, Avenue Supermarts expanded the operations of its e-commerce business arm DMart Ready.
“We have further expanded our e-commerce operations to four new cities while continuing to deepen our presence in the existing 18 cities. Our operations now span across 22 cities in India,” he said.
Besides, D-Mart is also in the process of commencing a pharmacy shop-in-shop through its subsidiary Reflect Healthcare and Retail Pvt. Ltd. at one of its stores.
“This is yet another pilot that will complement our brick-and-mortar business using our existing store infrastructure,” Mr. Noronha said.
As of December 31, 2022, D-Mart is operating 306 stores across Maharashtra, Gujarat, Daman, Andhra Pradesh, Karnataka, Telangana, Tamil Nadu, Madhya Pradesh, Rajasthan, NCR, Chhattisgarh and Punjab.
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