Sell

Dmart’s Q2FY26 results were in line and soft. Standalone Rev/GP/EBITDA/APAT came in at 15.4/15.9/11.3/5.1% YoY. We believe Rev was impacted by monsoons, store cannibalization, shift to Qcom and price deflation.

Relaxo Footwears’ (RLXF) 1QFY26 results reflect persistent volume pressure amid restructuring of distribution, muted demand and heightened competition.

Relaxo Footwears (RLXF) reported another weak quarter with EBITDA declining 7% YoY (6% miss) as volume (-10% YoY) was impacted by overall muted demand and restructuring of its distribution model.

Relaxo Footwears (RLXF) reported another weak quarter with revenue declining 6% YoY due to a 15% YoY dip in volume.

Maintain Contra Sell

Quick commerce comes to bite

Accelerated ramp-up of online grocery formats (quick commerce) in large metro cities led to deceleration of key growth metrics for DMART: 1) lowest revenue growth (+14% YoY) in a quarter ever

Quarterly Update Q1FY25

SS is currently trading at P/E of 35.8x on FY26 basis. We value the stock based on P/E methodology and assign multiple of 30x on FY26E PAT of Rs 2,248mn to arrive at a target
price of Rs613 per share, which is a potential downside of 16.3% from current market price and recommend “Sell” on the stock.

Quarterly Update Q4FY24

ABFRL’s board has approved the demerger of its Madura business into a new
entity – ABLBL, upon the requisite regulatory approvals over the next 9-12
months. In our view, this move should unlock value through better capital
allocation and improved investor interest for the two businesses individually.

Quarterly Update Q3FY24

Quarterly Update Q2FY24

Quarterly Update Q1FY24

Retain SELL with a revised TP of Rs. 2,900/share.

DMart reported revenue growth of 22%YoY (below expectation) supported by recovery in footfalls along with strong store additions in recent quarters. The recovery momentum which was witnessed from Q4FY21 had slowed subsequently due to Covid 2nd wave. Now, the short-term demand outlook is again under pressure due to resurgence of Covid cases in recent months as the footfall will be dependent on local regulations. However, DMart's strong store additions will support future growth when the economy normalises. The recent QIP of Rs.4,098cr is supporting acceleration in store additions. DMart has added 17/29 stores in Q3/9MFY22 & 60 stores in last 2Yrs....

Consensus (continues to) believe that DMart is a linear and secular growth story. We disagree. This analyst's >20 years Consumer experience suggests that in India, nuances matter more. We disagree with consensus' over-enthusiasm of BAAP. SELL. Watch-out for DMart (and modern retail) potentially getting disrupted like how India skipped wireline penetration and jumped directly to wireless.

kend closures in various states affected overall operations. The second quarter of the fiscal year is generally low on margins with no major festivals or any major consumption drivers and largely comprises of end of season liquidation. Moreover, there has been immense margin pressures on the product sourcing side due to spike in cotton yarn prices, with little signs of abetment. However, the company mitigated the same...

DMart reported revenue growth of 46%YoY supported by recovery in footfalls. Additionally, DMart had added 22 new stores in FY21 which also supported the growth. Covid 2nd wave had slowed the strong recovery momentum witnessed in Q4FY21. However, ease in restrictions and lockdowns in the quarter supported for more footfalls and improvement in sales. The company continued new store additions despite challenging conditions and added 8 stores Vs 6 stores YoY (4 QoQ). The recent QIP of Rs.4,098cr is supporting acceleration in store additions. DMart, improved its focus on E-Com business and continued its expansion by soft launching DMart Ready'...