V-Mart Retail rises to a 52-week high

3 Jul 2024 , 11:50 AM

V-Mart Retail shares gained about 5% to a 52-week high of ₹3,035 on July 3, boosted by the company’s strong quarterly reports, which showed good revenue and same-store sales growth.

At 11:46 a.m., V-Mart Retail shares were trading at ₹3,002 on the National Stock Exchange.

The retailer’s revenue increased 16% year on year to ₹790 Crore in the first quarter of FY25, driven by 11% same-store sales growth (SSSG) and footprint expansion.

SSSG for V-Mart (core) and Unlimited improved for the third consecutive quarter, reaching 12% and 8%, respectively, in the June quarter. The healthy improvement in these two verticals also helped the retailer’s revenue growth.

Meanwhile, the company opened seven new stores (five V-Mart and two Unlimited) and closed three during the quarter, bringing the total number of stores to 448 (370 V-Mart and 78 Unlimited).

V-Mart intends to open 50 new stores in FY25 while prioritising the refurbishment of existing locations. The company is also concentrating on LimeRoad’s profitability, with management hoping to reduce expenses by 25-30% per quarter and reach breakeven by the end of FY25.

As a result, Limeroad’s revenue in Q1 was down 29% year on year, compared to previous quarters.

Furthermore, V-Mart is utilising LimeRoad to improve omnification throughout its existing V-Mart and Unlimited locations.

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