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Trent, the Tata group's retail arm, on Thursday declared a 40.4 per cent on-year jump in standalone net profit in the fourth quarter ended March 2023 at ₹105.13 crore, on robust sales along with margin expansion.
For the full year, standalone net income more than doubled (122.15 per cent) to ₹554.57 crore, while the March quarter revenue increased 76 per cent to ₹2,209 crore, giving a CAGR (Compounded Annual Growth Rate) of over 34 per cent since FY20. The full year standalone sales almost doubled (99 per cent) to ₹8,213 crore from ₹4,128 crore in the preceding fiscal, making it the highest-ever revenue.
Chairman Noel N Tata said the company earned an operating margin of 7.7 per cent, up from 7.4 per cent in FY22 and 6.6 per cent in FY20.
Tata said on a consolidated level, which includes those of business under the brand name of Star Bazaar, Q4 revenue jumped 65 per cent to ₹2,336 crore and net income stood at ₹60 crore. Full year revenue rose to ₹8,799 crore from which it earned ₹297 crore.
"The performance of the business and growth momentum encourages us to continue with our expansion agenda over the medium term," Tata added.
The company's portfolio includes 214 Westside stores, 352 Zudio stores and 24 stores across other lifestyle concepts.
Online revenue
In the reporting quarter, Westside registered same store growth of 23 per cent. Online revenue through Westside.com and other Tata Group platforms contributed 6 per cent of Westside revenue, he said.
Tata said sales growth came from across its concepts, emerging categories, including beauty and personal care, innerwear and footwear verticals. Emerging categories now contribute to over 18 per cent of the standalone revenue, he added.
The Star business, with tight footprint stores and focus on fresh food and own brands, continues to witness improved customer traction with growing sales densities.
"Given the increasingly positive economics at the store level, we are optimistic that we have a differentiated and scalable model to pursue. Consequently, we see Star as a key and additional growth engine in our portfolio," he said.
During the year, the company launched Samoh, the contemporary occasion wear concept, focusing on elegant, expressive, modern silhouettes based on designs and motifs from the hinterland.
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