Vishal Mega Mart's pricing strategy

The company keeps entry-level prices unchanged while raising prices at higher price points.

September-quarter results

Revenue rose 14% year-on-year to ₹3,398.5 crore but net profit grew just 3.7% to ₹157.9 crore.

Margin pressure

Operating Ebitda margin narrowed to 7.7% from 8.5% a year earlier with same-store sales growth at 5.4%.

Festive timing impact

The company estimated growth would have been 9% without the shift in festive calendar.

CEO's growth target

Kapur said December quarter SSSG needs to reach 12-13% to achieve 9% annual growth.

Share price decline

Shares fell 33.73% year-to-date underperforming Nifty 50 which dropped 12.76%.

Analyst perspective

Sandeep Abhange said revenue growth of 14-15% is reasonable but post-December margins will be key.

“The results were dull. They missed on a few with the margin side. But I believe they will, like, overall come back on the margin side.”

Premium apparel pilot

Belong & Co. pilot store targets young affluent urban shoppers with fashion-led merchandise.

Store format testing

The retailer tests smaller stores in high-rental-cost states while expanding in contiguous markets.

Store economics

Kapur aims for 100% viable and profitable stores with 2,000 large-format outlets nationally.

“I would absolutely focus on stores. I want 100% viable and profitable stores”

Future store targets

The company plans to open over 100 stores this financial year with growing openings annually.