Mumbai, July 12, 2021: Avenue Supermarts Ltd. (ASL), one of the largest food & grocery retailers in India, today declared its standalone and consolidated financial results for the quarter ended June 30, 2021.
Standalone results
Total Revenue for the quarter ended June 30, 2021, stood at Rs. 5,032 crore, as compared to Rs. 3,833 crore in the same period last year. Earnings before Interest, Tax, Depreciation, and Amortization (EBITDA) in Q1 FY22 stood at Rs. 221 crore, as compared to Rs. 109 crore in the corresponding quarter of last year. EBITDA margin stood at 4.4% in Q1 FY22 as compared to 2.8% in Q1 FY 21.
Net Profit is at Rs. 115 crore for Q1 FY22, as compared to Rs. 50 crore in the corresponding quarter of last year. PAT margin stood at 2.3% in Q1 FY22 as compared to 1.3% in Q1 FY21. Basic Earnings per share (EPS) for Q1 FY22 stood at Rs. 1.78, as compared to Rs. 0.77 for Q1 FY21.
Consolidated results
Total Revenue for the quarter ended June 30, 2021, stood at Rs.5,183 crore, as compared to Rs. 3,883 crore in the same period last year. Earnings before Interest, Tax, Depreciation, and Amortization (EBITDA) in Q1 FY22 stood at Rs. 224 crore, as compared to Rs. 112 crore in the corresponding quarter of last year. EBITDA margin stood at 4.3% in Q1 FY22 as compared to 2.9% in Q1 FY 21.
Net Profit is at Rs. 95 crore for Q1 FY22, as compared to Rs. 40 crore in the corresponding quarter of last year. PAT margin stood at 1.8% in Q1 FY22 as compared to 1.0% in Q1 FY 21. Basic Earnings per share (EPS) for Q1 FY22 stood at Rs. 1.47, as compared to Rs.0.62 for Q1 FY21.
D-Mart follows Everyday low cost – Everyday low price (EDLC-EDLP) strategy which aims at procuring goods at a competitive price, using operational and distribution efficiency, and thereby delivering value for money to customers by selling at competitive prices.
Commenting on the performance of the company Mr. Neville Noronha, CEO & Managing Director, Avenue Supermarts Limited, said: “Q1 FY 2021-22 saw a much stronger second wave of Covid-19 restrictions. We lost significantly more days or had a higher restriction on the number of hours of store operations compared to the
same period last year.
DMart (Brick and Mortar) Business Overview
Revenues have grown by 31% over the corresponding quarter of last year. This is because the lockdown periods were at different times in different regions during the quarter. Some cities announced early lockdowns and continue to have stringent measures in place even now while some cities eased the restrictions within 3-4 weeks after their early lockdown. There were also cities that announced lockdowns much later and are now in the process of relaxing them. Despite lesser hours of operations this time, we had more customer footfalls than in the same period last year and this has translated into higher sales. One of the key reasons for this is that even though restrictions on operations were more severe, personal mobility was relatively less stringent than last time. Additionally, we also had 22 new stores that were opened post-Q1 FY 2020-21.
Lockdown measures are now gradually reducing across multiple cities. Across these multiple periods of lockdowns, we have come to realize that a store needs at least 45 days of unhindered operational time to get back to pre-Covid sales momentum.
We have not seen any significant impact on our supply chain during the quarter. Our inventory is also gradually moving towards normal levels. Construction activity has also commenced at all our sites.
