DMart Q1 Preview: Net profit may rise 19% YoY; healthy revenue growth seen on store expansion

Net profit for the April-June 2024 period is seen growing 19% year-on-year, according to an average estimate of four brokerages. Revenue too is likely to jump 19% for the same period year-on-year.

The company reported strong numbers in the preceding March quarter too with the consolidated net profit rising 22% to Rs 563 crore. Revenues, meanwhile, increased 20% to Rs 12,727 crore.

Here's what analysts expect from DMart's Q1



DMart's revenue is likely to grow at 18% YoY driven by higher inflation and store expansion. On a five-year CAGR basis (pre-Covid-19 levels), revenue is expected to grow at 19%. We expect a marginal improvement in the sale of general merchandise as consumer sentiment improves. We expect DMart's EBITDA margin to improve marginally over last year's level due to operating leverage.


Consolidated revenue is expected to grow at 19% YoY on back of store expansion and single digit SSSG; EBITDA margins to remain flat.


Consolidated revenue expected to grow 18.6% year-on-year. DMART added six stores in 1QFY25, taking its total store count to 371. Standalone revenue/sqft grew 4.2% year-on-year to Rs 35,900. Expect PAT to grow by 25% year-on-year.

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We model consolidated revenue growth of 18.8% year-on-year in 1QFY25 (company update indicated 18.4% YoY standalone revenue growth) driven by addition of six stores and single-digit SSSG. We note that Dmart added six stores in 1QFY25.

We expect consolidated GM of 15.4% (up 20 bps YoY) and EBITDA margin of 8.7%. We expect gross margin to expand by 95 bps and EBITDA margin to expand by 130 bps sequentially driven by favourable seasonality.

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