Home Food Avenue Supermarts shares jump 6% after Q3 earnings

Avenue Supermarts shares jump 6% after Q3 earnings

By  
SHARE

Shares of  gained nearly 6 per cent in early trade on Monday after the firm reported an increase of 16.39 per cent in its consolidated net profit for the third quarter ended December 2020. The stock jumped 5.47 per cent to Rs 3,130.05 — its one-year high — on BSE.

On NSE, it rallied 5.71 per cent to its one-year high of Rs 3,137.

Avenue Supermarts, which owns and operates retail chain , on Saturday reported an increase of 16.39 per cent in its consolidated net profit at Rs 446.95 crore for the third quarter ended December 2020.

The company had posted a net profit of Rs 384.01 crore in the October-December quarter a year ago, Avenue Supermarts said in a BSE filing.

Its revenue from operations was up 10.77 per cent at Rs 7,542 crore during the quarter under review as against Rs 6,808.93 crore in the corresponding quarter last fiscal.

In 2019-20, Avenue Supermarts logged a profit of Rs 1,300.98 crore, up 44.15 percent from Rs 902.46 crore in the previous year.

Revenue from operations in the last financial year was Rs 24,870.20 crore, up 24.32 percent as against Rs 20,004.52 crore in 2018-19.

, CEO & Managing Director, Avenue Supermarts had then said that overall, 2019-20 saw a healthy 24 percent revenue growth while PAT margins were in line with expectations.

“Our (Like for Like) LFL growth for FY2020 was 10.9 percent. Two reasons for this. One is that stores that are more than 5 years old grew at a rate lower than the previous year’s and most of the stores that are younger are peaking faster, even before they qualify for the 24 months LFL measurement,” he had said.

The company has opened 38 new stores during 2019-20.