Avenue Supermarts Limited Q4 FY2026 Results
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Overview
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Detailed Analysis
Sentiment
Positive
Executive Summary
Avenue Supermarts Q4 FY2026: Revenue ₹17,683.86 Cr (vs ₹14,871.86 Cr YoY), PAT ₹656.42 Cr (vs ₹550.79 Cr YoY)
In Q4 FY2026 (quarter ended 31 Mar 2026) consolidated revenues rose to ₹17,683.86 Cr compared with ₹14,871.86 Cr in Q4 FY2025, driven by higher store volumes and product sales. Consolidated net profit after tax was ₹656.42 Cr in Q4 FY2026 versus ₹550.79 Cr in Q4 FY2025, supporting margin expansion. Cost dynamics included a larger purchase base of ₹15,541.43 Cr and a reduction in inventories of ₹430.82 Cr in the quarter, while operating and net margins improved. The Board approved audited results and company continues capex and short-term funding via commercial paper issuances for FY2026...Revenue (Consolidated) Q4 FY2026
₹17,683.86 Crvs ₹14,871.86 Cr in Q4 FY2025
Net profit after tax (Consolidated) Q4 FY2026
₹656.42 Crvs ₹550.79 Cr in Q4 FY2025
Profit before tax (Consolidated) Q4 FY2026
₹904.17 Crvs ₹720.30 Cr in Q4 FY2025
Operating margin (Consolidated) Q4 FY2026
6.85%vs 6.42% in Q4 FY2025
Net profit margin (Consolidated) Q4 FY2026
4.73%vs 3.70% in Q4 FY2025
Trade receivables turnover (Consolidated) Q4 FY2026
101.74 timesvs 87.83 times in Q4 FY2025
Inventory turnover (Consolidated) Q4 FY2026
2.66 timesvs 2.67 times in Q4 FY2025
Debt-equity ratio (Consolidated) Q4 FY2026
0.10 timesvs 0.04 times in Q4 FY2025
Key Highlights
10
Consolidated revenue for Q4 FY2026 increased to ₹17,683.86 Cr from ₹14,871.86 Cr in Q4 FY2025, reflecting higher topline scale across the retail network.
Consolidated net profit after tax rose to ₹656.42 Cr in Q4 FY2026 from ₹550.79 Cr in Q4 FY2025, supported by improved operating margin of 6.85% in Q4 FY2026.
Finance costs (Consolidated) increased to ₹40.97 Cr in Q4 FY2026 from ₹18.96 Cr in Q4 FY2025, contributing to higher interest burden in the quarter.
Purchases of stock-in-trade on a consolidated basis were ₹15,541.43 Cr in Q4 FY2026 versus ₹13,074.61 Cr in Q4 FY2025, indicating higher procurement linked to sales growth.
Change in inventories (Consolidated) in Q4 FY2026 was (₹430.82 Cr) compared with (₹306.63 Cr) in Q4 FY2025, implying a larger release of inventory into sales in the quarter.
Employee benefits expense (Consolidated) was ₹420.04 Cr in Q4 FY2026 versus ₹309.60 Cr in Q4 FY2025, reflecting increased labour and store staffing costs as operations scaled.
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Key Highlights
10
Consolidated revenue for Q4 FY2026 increased to ₹17,683.86 Cr from ₹14,871.86 Cr in Q4 FY2025, reflecting higher topline scale across the retail network.
Consolidated net profit after tax rose to ₹656.42 Cr in Q4 FY2026 from ₹550.79 Cr in Q4 FY2025, supported by improved operating margin of 6.85% in Q4 FY2026.
Finance costs (Consolidated) increased to ₹40.97 Cr in Q4 FY2026 from ₹18.96 Cr in Q4 FY2025, contributing to higher interest burden in the quarter.
Purchases of stock-in-trade on a consolidated basis were ₹15,541.43 Cr in Q4 FY2026 versus ₹13,074.61 Cr in Q4 FY2025, indicating higher procurement linked to sales growth.
Change in inventories (Consolidated) in Q4 FY2026 was (₹430.82 Cr) compared with (₹306.63 Cr) in Q4 FY2025, implying a larger release of inventory into sales in the quarter.
Employee benefits expense (Consolidated) was ₹420.04 Cr in Q4 FY2026 versus ₹309.60 Cr in Q4 FY2025, reflecting increased labour and store staffing costs as operations scaled.
Depreciation and amortisation (Consolidated) rose to ₹283.22 Cr in Q4 FY2026 from ₹240.86 Cr in Q4 FY2025, reflecting continued capitalisation and store/capex additions.
Cash generation remained positive at the consolidated level with net cash flow from operating activities of ₹3,466.74 Cr for the year (FY2026) as disclosed in cash flow statement.
Outstanding commercial paper programs were used during FY2026 (multiple issuances totalling ₹600 Cr in the year as per disclosures) to manage short-term liquidity.
Total comprehensive income for Q4 FY2026 (consolidated) was ₹664.75 Cr versus ₹554.89 Cr in Q4 FY2025, indicating after-tax and OCI improvements.
Guidance & Outlook
4
Company approved audited Q4 FY2026 results and continues investment in property, plant and equipment with consolidated purchases of PPE, intangible assets and CWIP of ₹4,113.35 Cr in FY2026 (cash flow line item), indicating ongoing store expansion and capex.
Management funded short-term working capital via commercial paper issuances in FY2026 (multiple issues disclosed) to support expansion and inventory cycles.
No explicit quantitative guidance was provided in the filing for Q1 FY2027; the disclosure emphasises continued retail operations and capital deployment into stores and pharmacy/food segments.
Organisational changes effective 2nd May 2026—re-designation and role changes in senior management (e.g., Chief Business Officer - Pharmacy & Food Services) signal strategic focus on pharmacy and food services growth.
Risks & Concerns
6
Debt-equity ratio rose to 0.10 times in Q4 FY2026 from 0.04 times in Q4 FY2025, increasing leverage and interest rate sensitivity given higher finance costs.
Finance costs increased to ₹40.97 Cr in Q4 FY2026 from ₹18.96 Cr in Q4 FY2025, which could pressure net interest coverage if interest rates rise or margins compress.
Employee benefits expense rose to ₹420.04 Cr in Q4 FY2026 from ₹309.60 Cr in Q4 FY2025, posing a risk to operating leverage if sales growth slows.
Inventory turnover was largely unchanged at 2.66 times in Q4 FY2026 versus 2.67 times in Q4 FY2025, which implies limited improvement in working capital efficiency despite higher sales.
The consolidated results rely on continued consumer demand; any macro slowdown or regulatory changes (e.g., labour codes noted in disclosures) could increase costs or reduce footfall.
One-off or non-recurring items disclosed in income (e.g., gains/losses on investments and disposal) could cause quarter-to-quarter volatility in profit metrics.
AI-generated analysis. May contain inaccuracies — verify against original sources.