Radhakishan Damani’s retail corporation that operates a chain of hypermarkets, Avenue Supermarts Ltd., has observed around 63 per cent Y-o-Y rise in net profit for the September quarter to Rs. 730.48 crore.
The company’s revenue for the quarter rose nearly 36 per cent on year to Rs. 10385 crore. It has around 302 stores across India.
As per the company, during Q2, the fast-moving consumer goods (FMCG) and staples segment of the business performed better than the general merchandise and apparel segments. The company said that “as and when footfalls increase, we assume we should be inching towards our pre-pandemic contributions for apparel and general merchandise sales.”
The share of general merchandise and apparel which was 23.40 per cent during FY ’22 in the company’s turnover, increased and remained at 24.75 per cent in first six months of FY ’23.
Neville Noronha, CEO and MD said that, “The inflationary stress is more acute at lower price points in discretionary non-FMCG categories. While the average basket values remain higher, footfalls continue to be lower than pre-pandemic levels.”
He further added that on a like-to-like basis, stores that are 5 years and older, have seen about 21 per cent absolute growth in Q2 when compared to the same period in 2019.
