V-Mart Retail registers 177% rise in net profit in Q1, FY26

26 July 2025, Mumbai

V-Mart Retail reported a significant jump in net profit in Q1, FY26 spanning April-June 2025, driven by effective cost-cutting measures and improved operational efficiency. The Kolkata-based value fashion retailer's net profit increased by 177 per cent Y-o-Y to Rs 34 crore, even as a broader slowdown in consumer spending impacted sales at existing stores and overall demand in smaller Indian cities.

V-Mart's revenue rose by 13 per cent Y-o-Y to Rs 885 crore during the quarter, marking its highest quarterly revenue in over two decades. This performance slightly surpassed analyst estimates from Motilal Oswal, who had projected a 12 per cent growth.

While sales at older stores grew by a modest 1 per cent from a year earlier, V-Mart explained in an exchange filing that this figure was largely influenced by the early timing of the Eid festival shopping this year.

The company's earnings before interest, taxes, depreciation, and amortization (EBITDA) rose 27 per cent Y-o-Y to Rs 126 crore in the June quarter, as againt Rs 99 crore in the same period a year ago.

The subdued same-store sales growth at V-Mart reflects a wider consumption slowdown impacting discretionary retail across India. Other major retailers also reported muted performances; Avenue Supermarts (DMart) reported same-store sales growth of just 3.9 per cent in Q1 FY26, while Shoppers Stop experienced a 5.9 per cent contraction in same-store sales during the same period, indicating a general softness in footfalls and demand across both organized value and premium retail segments.

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