Avenue Supermarts, (DMART) the company behind India’s most-watched retail chain DMart, announced its results for the first quarter of FY27 on Saturday, 11 July 2026. The numbers tell a familiar story for long-time DMart watchers: steady double-digit growth, disciplined margins, and a business that keeps expanding beyond the big cities.
In this article, we break down everything you need to know from the Q1 FY27 earnings, what worked, what did not, and what it means for the stock going forward.
Avenue Supermarts Q1 FY27 Results: Key Highlights
Here is a quick report of DMart’s (Avenue Supermarts) performance for the April to June 2026 quarter, compared with the same period last year:
| Metric | Q1 FY27 | Q1 FY26 | Change (YoY) |
| Revenue from Operations | Rs. 18,343 Crore | Rs. 15,932 Crore | +15.1% |
| Net Profit | Rs. 936 Crore | Rs. 830 Crore | +12.8% |
| EBITDA | Rs. 1,526 Crore | Rs. 1,313 Crore | +16.2% |
| EBITDA Margin | 8.3% | 8.2% | +10 bps |
| Like for Like Growth | 5.5% | 7.1% | Lower |
| Transactions | 11 Crores | 9.7 Crore | +13.4% |
Revenue Growth Stays Strong at 15.1%
Revenue from operations came in at Rs. 18,343 crore, growing 15.1% over the Rs 15,932 crore reported in Q1 FY26. For a retailer of DMart’s size, sustaining mid-teens revenue growth quarter after quarter is no small feat, and it reflects the continued pull of the company’s everyday low price model.
A large part of this growth is coming from new store additions and deeper penetration into smaller cities rather than from existing metro stores, a point the management itself highlighted this quarter.
Net Profit Rises, But Misses Street Estimates
Net profit for the quarter stood at Rs 936 crore, up 12.8% from Rs 830 crore a year ago. However, this came in slightly below analyst expectations of around Rs 964 crore.
So while the headline growth looks healthy, the market was hoping for a little more on the bottom line. This is why most analysts are describing it as an “in-line quarter” rather than a beat.
Margins Hold Steady
EBITDA grew 16.2% year-on-year to Rs 1,526 crore, marginally ahead of street estimates of Rs 1,517 crore. The EBITDA margin expanded slightly to 8.3% from 8.2% in the same quarter last year.
For a value retailer operating on thin margins by design, even a 10 basis point improvement matters. It suggests DMart is managing costs well even as it expands aggressively.
The One Number Worth Watching: Like for Like Growth
LFL growth, which measures sales growth from stores that have been open for at least two years, slowed to 5.5% in Q1 FY27 from 7.1% in the same quarter last year.
This is arguably the most important takeaway from the results. CEO Anshul Asawa noted that growth was driven primarily by non-metro cities, while older stores in metros remained flat. In simple terms, DMart’s mature big-city stores are not growing much on their own, and the company is increasingly relying on new stores and smaller towns for growth.
This trend is worth tracking over the next few quarters, as intense competition from quick commerce players and online grocery platforms continues to pressure urban retail footfalls.
Customer Traffic Keeps Climbing
One positive signal: the company processed 11 crore bill cuts during the quarter, up from 9.7 crore in Q1 FY26. More transactions mean more customers walking through the doors, which shows that DMart’s core value proposition still resonates strongly with Indian shoppers.
Key Announcements
- Fundraising: The board approved raising Rs 1,000 crore through non-convertible debentures (NCDs), which is likely to support the company’s ongoing store expansion plans.
- Leadership: Lalit Ahuja has been appointed as Chief Operating Officer, strengthening the senior management team.
Avenue Supermarts Share Price Context
DMart’s stock closed marginally higher at Rs 4,083.05 on the BSE on Friday, while the benchmark SENSEX rose 1.08%. With the results landing broadly in line with expectations, the stock’s reaction on Monday will likely hinge on how the market weighs the slower like-for-like growth against the steady margin performance.
Frequently Asked Questions (FAQs)
What was Avenue Supermarts’ net profit in Q1 FY27?
- Avenue Supermarts (DMART) reported a net profit of Rs 936 crore in Q1 FY27, up 12.8% from Rs 830 crore in Q1 FY26.
How much revenue did DMart generate in Q1 FY27?
- DMart’s revenue from operations stood at Rs. 18,343 crore in Q1 FY27, up 15.1% from Rs. 15,932 crore in the same quarter last year.
Did Avenue Supermarts beat analyst estimates in Q1 FY27?
- The results were largely in line with expectations. Net profit of Rs. 936 crore was slightly below the estimated Rs. 964 crore, while EBITDA of Rs. 1,526 crore was marginally ahead of the estimated Rs 1,517 crore.
What was DMart’s like for Like growth in Q1 FY27?
- Like for like growth came in at 5.5%, lower than the 7.1% recorded in Q1 FY26, with metro stores remaining largely flat.
Who is the new COO of Avenue Supermarts?
- Lalit Ahuja has been appointed as the Chief Operating Officer of Avenue Supermarts.
Is Avenue Supermarts raising funds?
- Yes, the board has approved raising up to Rs. 1,000 crore through non-convertible debentures (NCDs).
