Trent Limited, the retail arm of the esteemed Tata Group, continues to make waves in the Indian retail industry with yet another stellar performance in the third quarter. The company has declared a remarkable 40.4% year-on-year jump in standalone net profit, reaching ₹105.13 crore, driven by robust sales and expansion.
The strong financial performance in the fourth quarter caps off a phenomenal year for Trent Limited, with standalone net income more than doubling to ₹554.57 crore for the full year. This impressive growth trajectory is further underscored by a 76% increase in revenue for the March quarter, reaching ₹2,209 crore, and a compounded annual growth rate (CAGR) of over 34% since FY20.
Chairman Noel N Tata expressed satisfaction with the company’s operating margin, which increased to 7.7% from 7.4% in FY22, signaling Trent Limited’s commitment to operational efficiency and profitability. He attributed this success to the company’s diverse portfolio of retail brands, including Westside, Utsa, Zudio, Star, Landmark, and Booker Wholesale, each catering to distinct consumer segments with a wide array of products and services.
On a consolidated level, which includes businesses under the Star Bazaar brand, Trent Limited witnessed a 65% jump in revenue for the fourth quarter, reaching ₹2,336 crore, with a net income of ₹60 crore. Full-year revenue also surged to ₹8,799 crore, with a net income of ₹297 crore.
Tata highlighted the robust performance of Westside, which registered a same-store growth of 23% in the reporting quarter. He emphasized the increasing contribution of online revenue through Westside.com and other Tata Group platforms, which now accounts for 6% of Westside’s revenue.
The company’s focus on emerging categories, including beauty and personal care, innerwear, and footwear verticals, has paid off, with these segments now contributing over 18% of standalone revenue. Additionally, the Star business, with its focus on fresh food and own brands, continues to witness improved customer traction and growing sales densities.
Looking ahead, Tata expressed optimism about the company’s growth prospects, particularly with the launch of Samoh, a contemporary occasion wear concept. He emphasized Trent Limited’s commitment to delivering differentiated and scalable models, positioning Star as a key growth engine in the company’s portfolio.
As Trent Limited continues to drive value for its stakeholders and contribute to the growth of the Indian retail industry, investors can anticipate continued positive momentum in the company’s performance and share value, solidifying its position as a leader in the retail sector.