DMART
Large CapAvenue Supermarts Limited
Consumer
Avenue Supermarts operates D-Mart, a retail chain in India, focusing on value retailing across Foods, Non-Foods (FMCG), and General Merchandise & Apparel. It employs a cluster-based expansion strategy for its physical stores and operates an e-commerce arm, DMart Ready, in key large towns.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Weak fundamentals, management trust is supportive, price trend is neutral, and recent execution is consistent.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Good · 65/100Rev +19% YoY · PAT +19% YoY · margin expansion
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹17,684 Cr | +18.9% | -2.3% |
| EBITDA | ₹1,211 Cr | +26.8% | -17.2% |
| Operating margin | 7.0% | +100 bps | -100 bps |
| PAT | ₹656 Cr | +19.1% | -23.4% |
| PAT margin | 3.7% | +1 bps | -102 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
DMART reported robust revenue growth of 15.9% YoY in FY26, driven by significant store expansion (85 new stores) and a 12.7% increase in bill cuts. However, LFL growth decelerated to 8.1%, and profitability metrics like EBITDA and PAT margins saw slight compression.
While store expansion and bill cuts continue to drive top-line growth, the declining LFL growth and revenue per square foot, coupled with margin compression, suggest potential saturation in existing stores or increased competitive intensity. The increase in Days Inventory and Debt/Equity also warrants attention.
Share of Revenue by Product Categories (FY26)
Latest issuer-disclosed distribution across 3 reported categories.
Store Expansion
Added 85 stores in FY26, bringing the total to 500 stores across 17 states/UTs, continuing the cluster-based strategy.
DMart Ready Expansion
DMart Ready expanded its presence to 25 cities in FY26, up from 18 cities in FY25, focusing on key large towns.
Increased Customer Footfall
Total bill cuts increased by 12.7% YoY to 39.8 Crs in FY26, indicating higher customer visits.
New Stores Added
85 new stores were added during FY26, increasing the total store count to 500.
Retail Business Area Expansion
Retail Business Area increased by 19.7% YoY to 20.6 million sqft at the end of Fiscal Year 2026.
Declining LFL Growth
Like For Like growth (24 Months) decreased to 8.1% in FY26 from 8.4% in FY25, indicating slowing growth in mature stores.
Revenue per sqft Decline
Revenue from sales per retail business area sq ft declined by 1.4% YoY in FY26, suggesting lower productivity per square foot.
Margin Compression
EBITDA margin declined to 7.8% and PAT margin to 4.8% in FY26, indicating pressure on profitability.
Increased Inventory Days
Days Inventory increased to 33.2 in FY26 from 31.4 in FY25, potentially signaling inventory management challenges.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
The document presents annual financial and operational data for Fiscal Year 2026, making year-over-year comparison the most appropriate method to assess performance trends and growth.
Volume Growth (Total Bills Cuts)
Total Bills Cuts increased by 12.7% YoY to 39.8 Crs in FY26.
Distribution Expansion (Stores)
Added 85 stores in FY26, reaching 500 stores across 17 states/UTs.
LFL Growth (24 Months)
LFL growth declined to 8.1% in FY26 from 8.4% in FY25.
Revenue per Retail Business Area sq ft
Revenue from sales per retail business area sq ft declined to INR 33,422 in FY26 from INR 33,896 in FY25.
Continued Cluster-Based Expansion
Management states that the cluster-based expansion strategy for physical stores continues.
DMart Ready Focus
DMart Ready's strategy remains focused only on key large towns for its e-commerce operations.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| LFL Growth | 8.1% (FY26) | Stabilization or improvement in LFL growth to indicate sustained demand in mature stores. |
| Revenue per sqft | INR 33,422 (FY26) | Reversal of the declining trend to ensure efficient utilization of retail space. |
| EBITDA Margin | 7.8% (FY26) | Stability or improvement in margins amidst expansion and potential competitive pressures. |
| Store Additions | 85 stores (FY26) | Continued pace of store additions and successful integration into the cluster strategy. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
52NeutralSMA20 +9.4% / mo
Technical chart
DMARTdaily · 6M+7.2%Technical trend read
Mixed signalsSignals are conflicting — long-term trend unclear. RSI 40. Wait for confirmation.
- SMA20 falling (~7.9% over last month) — short-term momentum negative.
- RSI(14) at 40 — rising, no extreme reading.
- MACD above signal but histogram contracting — bullish momentum cooling.
- 12% off 52W high · 14% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
WATCHLISTWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 8/9.
- Balance sheet contributes 11/15 to the score.
- Growth contributes 10/25 to the score.
Main drags
- Fair-value margin of safety is negative at -15.2%.
- Valuation is weaker at 0/30; verify the latest quarterly trend.
- Quality is weaker at 2/20; verify the latest quarterly trend.
Consumer valuation: PE/PEG and brand-quality premium
Consumer franchises can deserve higher multiples, but only when growth quality supports them.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Healthy Trust: Claim history is still being built. It ranks around the 90th percentile of the scored universe and 91st percentile within Consumer. No major sub-score weakness stands out.
High Trust Lite: Promoter holding is 74.5%.
Generally investable credibility. Look for weak sub-scores before increasing position size.
overall median 67 · Consumer: 91st pctile, median 67 · Large: 74th pctile, median 74
60 documents indexed, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Healthy Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter holding is 74.5%.
- ▸Promoter pledge is zero.
- ▸6 years of positive FCF.
- ▸Debt/equity is 0.10.
Trust risks
- ▸No major Trust Lite risk flags.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Intrinsic value
Fundamentals
Valuation
- P/E
- 89.20
- P/B
- 10.83
- EV/EBITDA
- 42.97
- Market Cap
- 264994.00Cr
Profitability
- ROE
- 13.00%
- ROCE
- 17.20%
- ROA
- 10.06%
- Dividend Y
- —
Growth (CAGR)
- Revenue 5Y
- 23.00%
- EPS 5Y
- 22.00%
- Revenue 3Y
- 17.00%
- EPS 3Y
- 8.00%
Balance Sheet
- Debt/Equity
- 0.10
- Interest Coverage
- 36.53×
- Altman Z
- 10.34
- Book Value
- 375.00
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 6/5
- OCF
- 3467.00 Cr
- EPS TTM
- 45.56
Shareholding
- Promoter Hold
- 74.51%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 38%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in Consumer — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.