Trent Limited Earnings Summary — Q1 FY2027
Trent Reports 22% Profit Growth in Q1 FY27 Amid Revenue Expansion and Bonus Issue
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue grew 14.5% sequentially in Q1 FY2027.
- Revenue of ₹5,755 Cr is 17.8% higher year-on-year.
- Revenue has compounded at 28.1% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit of ₹519 Cr is 20.8% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at -12.7% annualised across the period.
- Operating margin stands at 19.4% in Q1 FY2027.
- Operating margin expanded by 209 bps year-on-year.
- Over the last two years operating margin has expanded by 451 bps.
- PBT margin is 12.0%.
- Expense growth of 14.9% remained below revenue growth of 17.8%.
- Operating profit of ₹1,119 Cr is 32.0% higher year-on-year.
- Operating leverage continues to improve.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 75/100 (Strong) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Improving | 5,755 | 5,028 | 5,345 | 4,818 | 4,883 | 4,217 | 4,657 | 4,157 | 4,104 | 3,298 |
| Expenses | Improving | 4,636 | 4,117 | 4,264 | 4,002 | 4,036 | 3,566 | 3,809 | 3,511 | 3,491 | 2,828 |
| Operating Profit | Improving | 1,119 | 911 | 1,081 | 816 | 848 | 651 | 847 | 646 | 613 | 470 |
| Operating Margin | Improving | 19.4% | 18.1% | 20.2% | 16.9% | 17.4% | 15.4% | 18.2% | 15.5% | 14.9% | 14.2% |
| Other Income | Volatile | 30 | 28 | 5 | 28 | 50 | 74 | 80 | 51 | 101 | 695 |
| Interest | Improving | 47 | 44 | 43 | 42 | 40 | 38 | 37 | 33 | 32 | 33 |
| Depreciation | Improving | 410 | 377 | 367 | 325 | 293 | 272 | 245 | 197 | 181 | 213 |
| Profit Before Tax | Accelerating | 692 | 519 | 676 | 477 | 565 | 416 | 646 | 467 | 501 | 919 |
| Tax | Accelerating | 174 | 106 | 166 | 104 | 140 | 104 | 149 | 132 | 110 | 207 |
| Net Profit | Accelerating | 519 | 400 | 513 | 377 | 430 | 318 | 497 | 339 | 393 | 704 |
| Net Margin | Softening | 9.0% | 8.0% | 9.6% | 7.8% | 8.8% | 7.5% | 10.7% | 8.2% | 9.6% | 21.4% |
Key Takeaways
- Revenue from operations grew 17.8% YoY to ₹5,754.71 crore, reflecting continued momentum in retail formats.
- Consolidated Net Profit rose 22% YoY to ₹518.07 crore, with margins improving despite competitive pressures.
- The company successfully executed a 1:2 bonus share issue during the quarter, adjusting all EPS figures accordingly.
- Operating margins expanded to 12.76% from 11.29% in the preceding quarter, driven by operational efficiencies.
- Trent announced a leadership change in the Internal Audit function, with Ms. Varsha Agarwal succeeding the retiring Mr. Ratul Neogi.
- The Board recommended rotating statutory auditors to B S R & Co. LLP starting in 2027, following the completion of Deloitte's term.
- Standalone results showed a higher net profit margin (9.38%) compared to consolidated (9.00%), partly due to losses in certain joint ventures.
- Total debt-to-assets remains healthy at approximately 20.6%, with interest service coverage remaining robust at 15.98x.
Management Guidance
Management remains focused on scaling the Zudio format and premiumizing Westside. The company continues to leverage its asset-light model and Tata Group synergies to drive multi-format growth while maintaining rigorous control over store economics and supply chain efficiency.
Sentiment Shift
Improving
Strong bottom-line growth and margin expansion, coupled with the successful execution of the bonus issue, signal high management confidence in the growth trajectory.
Outlook
Trent is positioned as a high-growth compounder in the Indian retail space, with an accelerating store rollout capability and a dominant position in the value fashion segment through Zudio. Management maintains a focus on 'Like-for-Like' sales growth and capital productivity.
From the Annual Report (Key Quotes)
“The main business of the Company is retailing / trading of merchandise. All other operating activities of the Company are incidental to its main business.”
“During the quarter, the Company has issued 1 (One) bonus share for every 2 (Two) shares held.”
“The results for the quarter ended 30th June 2026 were reviewed by the Audit Committee and approved by the Board of Directors.”
Official Quarterly Documents
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This summary is AI-generated from Trent Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.