V-Mart Retail Q1 FY27 Results (NSE: VMART)
Signal: Loss reversed
The read
Operating turnaround: revenue growth accelerated (23% YoY) driven by SSSG 9% and 15 new stores; EBITDA margin expanded 50bps to 14.8% on operating leverage (employee/other cost growth lagged revenue); PAT swing from ₹146 Cr loss to ₹47 Cr profit — a clean recovery after COO resignation and margin pressure in prior quarters.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹108.9 Cr | 23% | |
| EBIT | ₹0 Cr | ||
| Net profit | ₹4.7 Cr | 41% | |
| EPS | ₹2.36 | N/A | |
| EBIT margin | 14.8% |
P&L walk
Revenue growth volume-led (SSSG 9% + 15 new stores); gross margin expanded on better inventory management; EBITDA margin up 50bps; PAT swing from loss to profit driven by operating leverage and lower tax.
Segments
Retail segment result ₹720 Cr (up 125% YoY), unallocable expenses ₹620 Cr (mainly corporate overheads and finance costs); group PBT turned around from loss ₹200 Cr to profit ₹100 Cr.
Key positives
- SSSG 9% confirms healthy store-level like-for-like demand
- Inventory days improved 8% YoY to 86 days, per-store inventory down 5%
- EBITDA margin +50bps YoY to 14.8% despite finance cost rise
- PAT turn to ₹47 Cr from loss ₹146 Cr YoY
Key concerns
- Net debt increased ₹160 Cr QoQ to ₹4,880 Cr; borrowings up ₹500 Cr from March '26
- Other expenses (₹215 Cr) grew 20.8% YoY, slightly ahead of revenue growth of 23%? (absolute gap small but watch)
Research and educational content only. Not investment advice.