India's DMart owner jumps as profit surges nearly 6-fold

Avenue Supermarts

11/07/2022 06:05

** Shares of Avenue Supermarts  AVEU.NS , which operates
hypermarket chain D-Mart, rise as much as 3.7% to 4,087.85
rupees, their highest since April 19
    ** AVEU on Saturday reported a 490% surge in first-quarter
net profit to 6.8 bln rupees ($85.72 mln) on revenue that nearly
doubled (https://bityl.co/DAaE)
    ** First quarter last year was hit by the second wave of the
COVID-19 pandemic
    ** This was co's first full quarter of zero disruption from
the pandemic - AVEU
    ** AVEU added 10 new stores during the quarter
    ** Benefit of recent expansion yet to fully kick in, see
value and volume tailwinds in FY22-24 - ICICI Securities
    ** Revenue performance "slightly underwhelming" as sales per
sq. ft. still below pre-COVID-19 levels despite near-normal
operating conditions plus significant commodity inflation, ICICI
Securities says, downgrading stock to "add" from "buy"
    ** More than 870,000 shares change hands by 0430 GMT vs
30-day avg of 461,029 shares
    ** AVEU shares down 15.62% YTD up to last close

($1 = 79.3275 Indian rupees)

 (Reporting by Nandan Mandayam in Bengaluru)
 ((Nandan.Mandayam@thomsonreuters.com; Mobile: +91 9591011727;))