Growth in the discretionary segment key for Avenue Supermarts stock

Stable GMA share helped company report steady gross margins of 14.9% in Q3

Despite a lackluster show in the December quarter, the stock of Avenue Supermarts (Dmart) ended marginally higher in trade on Monday. While the bottom line performance of the largest listed retail player by market capitalisation was below the Street estimates, an inline revenue show and stability in the discretionary segment boosted sentiment.

Consolidated sales growth of the retailer was up 17.3 per cent Y-o-Y with a majority of the growth coming from retail area addition (12.6 per cent), while the rest was on account of same store sales growth. While the growth was broadly in line, it was