Fashion and lifestyle major Trent on Thursday reported a 33 per cent growth in its consolidated net profit for the December quarter, reaching Rs 497 crore, compared to Rs 374 crore in the same period last year.
The Q3 FY25 revenue from operations stood at Rs 4,657 crore, marking a 34 per cent increase over Rs 3,467 crore reported in the corresponding quarter of the previous financial year.
The profit after tax (PAT) is attributable to the equity shareholders of the company and was lower than Street’s estimates of Rs 520 crore.
On a sequential basis, the bottom line grew 47 per cent compared to Rs 339 crore reported in Q2 FY25, while the topline witnessed a 12 per cent uptick.
The owner of the Zudio brand also informed of the board’s decision to approve a proposal for the sale of 1,75,450 equity shares held by the company in Massimo Dutti India Private Limited (“MDIPL”), an associate company in which it holds a 49 per cent shareholding.
This followed an offer from Grupo Massimo Dutti, Spain, to purchase the said equity shares at a price of Rs 1,182.6 per share, aggregating to Rs 20.75 crore.
“Consequent to this and upon conclusion of the said share transfer, the company’s shareholding in MDIPL would stand at 20 per cent ,” the exchange filing said.
“In line with our plans, Q3 witnessed faster pace of store additions. We now operate with a significant portfolio of over 850 large-box fashion stores. Also, we continue to selectively refresh our store footprint across concepts, with presence now across 201 cities. During the quarter, we opened 14 Westside and 62 Zudio stores across 46 cities including 1 in Dubai and consolidated 2 Westside and 4 Zudio stores. As of 31st December, our store portfolio included 238 Westside, 635 Zudio and 34 stores across other lifestyle concepts,” a company statement said.
Management commentary
Commenting on the results, Noel N. Tata said that the company remains on track to significantly expand its reach while also improving the quality of its store portfolio. The strong store opening program this year, along with other levers, keeps the company’s growth journey on track.
On its Star business, Tata mentioned that Trent is witnessing “compelling customer traction,” and he remains convinced that this business is well poised to shift gears and deliver substantial value to customers and shareholders over time.
The October-December quarter earnings were announced during market hours, and Trent shares were trading 1.3 per cent lower on NSE at Rs 5,672.70 around 1 pm.Trent’s shares were also under pressure earlier in the week after Reliance Retail relaunched the Chinese brand Shein in India, as it directly competes with the Tata Group.
