shares of dmartKey parent Avenue Supermarts down 8% ₹4,993 in Monday’s afternoon session after hitting a record high in early deals after reporting a significant rise in its consolidated net profit for the second quarter of the current fiscal.
Avenue Supermarts, which owns and operates retail chain D-Mart, reported a two-fold increase in its consolidated net profit on Saturday. ₹417 crore for the second quarter ended September 2021. The company posted a net profit of ₹198.53 crore in the July-October quarter a year ago.
The easing of Covid-19 restrictions attracted more shoppers and increased revenue by 47%. The Mumbai-headquartered company added eight stores during the quarter.
Stock rises 11% to record high in opening deals ₹5,900. However, they gave up their gains in the afternoon deals as several brokerages marked the stock’s upside limits due to higher valuations.
Meanwhile, a jump in the retail firm’s shares this year helped Ignatius Neville Noronha, chief executive officer of Avenue Supermarts Ltd., rise in wealth by more than a billion dollars as the stock hit a record high in the opening session. Noronha acquired this asset on the back of a 19-fold increase in the shares of DMart. The stock was listed in March 2017 with an IPO issue price of ₹299 each and has increased by almost 1,800% from the same.
Promoted by Radhakishan Damani and his family, DMart sells basic household and personal products in markets that include – Maharashtra, Gujarat, Andhra Pradesh, Madhya Pradesh, Karnataka, Telangana, Chhattisgarh, NCR, Tamil Nadu, Punjab and Rajasthan.
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