DMart Share Price Fall 3% Post Q4 Earnings; Should You Buy, Sell, Or Hold?

DMart Share Price Fall 3% Post Q4 Earnings; Should You Buy, Sell, Or Hold?

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Dmart Share Price: Avenue Supermarts Ltd’s shares fell nearly 3 percent after weak Q4 FY25 earnings. Net profit declined 2 percent YoY to Rs 551 crore.

DMart shares fall 2% post q4 earnings; should you buy, sell, or hold?

DMart Share Price Today: Radhakishan Damani-led Avenue Supermarts Ltd’s shares, the owner of DMart retail chains, fell almost 3 per cent in the morning session on Monday, May 05, following a weak quarter earnings in Q4 FY25. The company reported a consolidated net profit of Rs 551 crore for the quarter ended March 31, 2025, marking a 2 per cent decline Year-on-Year from Rs 563 crore in the corresponding quarter of the previous financial year 2023-24.

The scrip was trading at Rs 3,957 per share with a loss of 2.55 per cent, against the previous day close at Rs 4,060 apiece.

DMart Q4 FY25 Results

DMart’s total revenue stood at Rs 14,462 crore, YoY growth of 16.7 per cent. EBITDA was Rs 981 crore, YOY growth of 4.4 per cent. Basic EPS for Q4FY25 stood at Rs 9.52, as compared to Rs 9.28 for Q4FY24.  28 stores were added in Q4FY25.

DMart Q4 FY25 Financials

Total Revenue for FY25 stood at Rs.59,358 crore, as compared to Rs.50,789 crore in the same period last year.

Earnings before Interest, Tax, Depreciation and Amortization (EBITDA) in FY25 stood at Rs.4,487 crore, as compared to Rs.4,104 crore during FY24. EBITDA margin stood at 7.6% in FY25 as compared to 8.1% in FY24.

Net Profit stood at Rs.2,707 crore for FY25, as compared to Rs.2,536 crore in FY24. PAT margin stood at 4.6% in FY25 as compared to 5.0% in FY24.

Basic Earnings per share (EPS) for FY25 stood at Rs. 41.61 as compared to Rs. 38.99 for FY24.

D-Mart follows Everyday low cost – Everyday low price (EDLC-EDLP) strategy which aims at procuring goods at competitive prices, using operational and distribution efficiency and thereby delivering value for money to customers by selling at competitive prices.

Dmart Share Price Target

International brokerage Jefferies has maintained its ‘hold’ rating on DMart but trimmed its target price to Rs 4,100 from Rs 4,225, citing disappointment over the company’s lacklustre margin performance in the recent quarter.

Motilal Oswal, meanwhile, acknowledged the intensifying pricing competition in the Quick-Commerce (QC) space due to the entry of large offline and online players. The firm noted that this could weigh on DMart’s growth and margins in the near term. However, it expressed confidence in the company’s long-term prospects, stating, “DMart’s superior store economics would ensure its competitiveness and relevance to customers over the longer term.” It reiterated its ‘buy’ recommendation, but revised its target price downward to Rs 4,350 from Rs 4,650.

HDFC Securities also lowered its target price on Avenue Supermarts to Rs 3,850 from Rs 3,950, emphasizing the importance of maintaining a strong value proposition, enhancing product assortment, and sustaining operational efficiency to support future performance.

Disclaimer: The views and investment tips by experts in this News18.com report are their own and not those of the website or its management. Users are advised to check with certified experts before taking any investment decisions.

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