Trent Limited, reported a 15-fold Y-O-Y rise in consolidated net profit at Rs 712 crore

Trent Limited, which owns and operates fashion and lifestyle retail chains such as Westside, Zudio and Utsa, reported a 15-fold  year-on-year rise in consolidated net profit at Rs 712 crore in the quarter ended 31 March, 2024.

The company had reported a net profit of Rs 45 crore in the year-ago period.

Revenue from operations increased 51 percent to Rs 3,298 crore from Rs 2,183 crore in same quarter last fiscal.

Earnings before interest, tax, depreciation and amortisation (EBIDTA) were at Rs 477 crore compared to Rs 211 crore. The EBITDA margin stood at 15 percent YOY.

The company's Board of Directors proposes a dividend of 320%, equivalent to Rs. 3.20 per equity share of Re. 1 each, pending shareholder approval.

As of March 31, 2024, the companies' store portfolio comprised 232 Westside outlets, 545 Zudio outlets, and 34 stores across other lifestyle concepts. Throughout the quarter, the company expanded by opening 12 new Westside stores and 86 new Zudio stores, spanning 65 cities, including 25 new cities.

In Q4FY24, the company's fashion concepts registered encouraging LFL growth of well over 10 percent vis-à-vis Q4FY23. The emerging categories including beauty & personal care, innerwear and footwear continued to gain traction with customers. These emerging categories now contribute to over 20% of our standalone revenues.

The Star business, comprising 66 stores, saw increased customer engagement and higher sales densities, recording a 30% revenue growth in Q4FY24 compared to the same period last year, primarily from like-for-like stores. The business also saw overall operational improvement, driven by our brands, staples, fresh, and general merchandise offerings. With favorable economics, we believe Star presents a scalable and distinct growth opportunity within our portfolio.

Following the earnings, shares of Trent, closed at Rs 4298.35, 0.15 percent down on BSE.