Vishal Mega Mart Limited Earnings Summary — Q1 FY2027
Vishal Mega Mart Limited Reports Strong Revenue Expansion and Profitability Growth in Q1 FY27
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue grew 19.7% sequentially in Q1 FY2027.
- Revenue of ₹3,727 Cr is 18.7% higher year-on-year.
- Revenue has compounded at 29.9% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit of ₹259 Cr is 25.6% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 89.8% annualised across the period.
- Operating margin stands at 14.6% in Q1 FY2027.
- Operating margin compressed by 1 bps year-on-year.
- Over the last two years operating margin has expanded by 53 bps.
- PBT margin is 9.3%.
- Expense growth of 18.7% remained below revenue growth of 18.7%.
- Operating profit of ₹545 Cr is 18.6% 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 73/100 (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 | 3,727 | 3,114 | 3,670 | 2,981 | 3,140 | 2,548 | 3,136 | 2,436 | 2,596 | 2,069 |
| Expenses | Improving | 3,182 | 2,689 | 3,065 | 2,587 | 2,681 | 2,191 | 2,631 | 2,134 | 2,231 | 1,818 |
| Operating Profit | Improving | 545 | 425 | 605 | 395 | 459 | 357 | 505 | 302 | 366 | 251 |
| Operating Margin | Improving | 14.6% | 13.6% | 16.5% | 13.2% | 14.6% | 14.0% | 16.1% | 12.4% | 14.1% | 12.1% |
| Other Income | Improving | 33 | 25 | 25 | 20 | 17 | 19 | 19 | 13 | 8 | 7 |
| Interest | Improving | 46 | 46 | 43 | 41 | 41 | 49 | 31 | 34 | 34 | 36 |
| Depreciation | Improving | 185 | 178 | 168 | 169 | 159 | 171 | 141 | 141 | 138 | 136 |
| Profit Before Tax | Improving | 346 | 225 | 419 | 204 | 276 | 156 | 352 | 141 | 201 | 85 |
| Tax | Improving | 87 | 57 | 106 | 52 | 70 | 41 | 89 | 37 | 51 | 24 |
| Net Profit | Improving | 259 | 168 | 313 | 152 | 206 | 115 | 263 | 104 | 150 | 61 |
| Net Margin | Volatile | 6.9% | 5.4% | 8.5% | 5.1% | 6.6% | 4.5% | 8.4% | 4.3% | 5.8% | 3.0% |
Key Takeaways
- Revenue from operations grew by 18.7% Year-on-Year to ₹3,727.01 crore for the quarter ended June 30, 2026.
- Consolidated Net Profit rose significantly by 25.6% YoY, reaching ₹258.77 crore compared to ₹206.07 crore in the same period last year.
- Operating margins improved as Profit Before Tax reached ₹345.96 crore, up from ₹275.96 crore YoY, reflecting cost efficiencies.
- The Board approved a proposal to cap aggregate foreign ownership at 49.99% to maintain Indian 'owned and controlled' status.
- Private brands continue to be a dominant driver of revenue, contributing approximately 74.1% of total sales.
- The company maintained its aggressive store expansion strategy, following the addition of 105 stores in the preceding fiscal year.
- Geographically, the company is intensifying its penetration into South India and Tier 3 cities to capture mass-market consumption.
Management Guidance
Management remains optimistic about FY27, focusing on deeper penetration into India via small-format stores and maintaining a price discount of at least 40% over market leader brands to cushion consumers from inflation.
Sentiment Shift
Improving
Financial results show accelerating profit growth and robust revenue momentum compared to both the prior year and sequential quarter, supported by a healthy 13.2% SSSG trend.
Outlook
VMM expects to continue its rapid store expansion, specifically targeting internal white spaces in Gujarat and Maharashtra, while leveraging its high private-label mix to sustain margins despite geopolitical volatility and commodity price fluctuations.
From the Annual Report (Key Quotes)
“Our store expansion strategy remains firmly on track... we added 77 new cities to our network, in line with our agenda of deeper penetration into India.”
“Our business, in difficult inflation and demand situations, in the past has continued to perform and outperform... because 74.1% of our revenue is now from private brands.”
“We remain optimistic and positive about this year also... we will ensure that the discount will at least be 40%.”
Official Quarterly Documents
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This summary is AI-generated from Vishal Mega Mart Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.