Trent Ltd's Q3FY25 Quarterly Results

Result Summary

• Trent Ltd reported a 12.2% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a growth of 32.9%.
• Its expenses for the quarter were up by 9.4% QoQ and 32.1% YoY.
• The net profit increased 48.2% QoQ and increased 34.0% YoY.
• The earnings per share (EPS) of Trent Ltd stood at 14 during Q3FY25.

Financial Statments for Q3FY25

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Trent Ltd is a notable company operating within the retail industry in India. It is a part of the Tata Group, a leading conglomerate in India with diverse business interests. Trent Ltd primarily focuses on retail operations and is renowned for its chain of stores, including Westside, which offers a wide range of fashion apparel and accessories. The company also operates the Zudio brand, targeting the value fashion segment, and Star, a chain of hypermarkets and supermarkets. In recent years, Trent has been expanding its retail footprint across the country, adapting to consumer demands by enhancing its product offerings and customer experience. This strategic expansion is aligned with the growing retail market in India, driven by increasing urbanization and a rising middle class.

Revenue

In the third quarter of the fiscal year 2025 (Q3FY25), Trent Ltd reported a total income of ₹4715.64 crores. This marks a significant increase of 12.2% over the previous quarter (Q2FY25), where the total income was ₹4204.65 crores. Compared to the same quarter in the previous fiscal year (Q3FY24), the total income has grown by 32.9%, from ₹3546.95 crores. This upward trajectory in revenue reflects a strong performance during the quarter under review. The increase in revenue could be attributed to a combination of factors including expanded retail operations, increased consumer spending, or other strategic initiatives undertaken by the company during the period.

Profitability

Trent Ltd's profitability metrics for Q3FY25 show a robust performance. The company recorded a profit before tax of ₹619.56 crores, which indicates a quarter-on-quarter (QoQ) growth of 34.4% from Q2FY25, where the profit before tax stood at ₹461.04 crores. Year-over-year (YoY), there is a 39.1% increase from Q3FY24's ₹445.51 crores. After accounting for a tax expense of ₹149.25 crores in Q3FY25, which was 13.3% higher than the previous quarter and 42.8% higher than the same quarter last year, the profit after tax amounted to ₹496.54 crores. This represents a QoQ growth of 48.2% and YoY growth of 34.0%. These figures suggest an improved bottom line performance for Trent in Q3FY25 compared to both the preceding quarter and the corresponding quarter last year.

Operating Metrics

Trent Ltd's operating metrics for Q3FY25 demonstrate notable positive trends. Total expenses for the quarter were ₹4096.08 crores, reflecting a 9.4% increase from Q2FY25's ₹3743.61 crores and a 32.1% rise from Q3FY24's ₹3101.44 crores. Despite the rise in expenses, the company's profit margins have improved, as evidenced by the significant growth in profit after tax and earnings per share (EPS). The EPS for Q3FY25 is ₹14.00, up by 47.4% from ₹9.50 in Q2FY25 and 33.3% from ₹10.50 in Q3FY24. The rise in EPS aligns with the overall improvement in profitability, indicating effective cost management or increased operational efficiency. This data provides insight into how Trent Ltd is managing its operational costs relative to its revenue growth, contributing to its enhanced financial performance in Q3FY25.