Trent Q1 Results Review - Earnings Beat Continues: Motilal Oswal

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.Trent Ltd. continues to report strong performance despite weak consumption reported by other retailers. Standalone revenue grew 57% YoY in Q1 FY25 (five-year compound annual growth rate of 40%), aided by store expansion of Zudio (+44% YoY) and double-digit same-store sales growth in fashion concepts. This, along with gross margin improvement (170 bp) and operating leverage, led to 67%/2.3 times YoY growth in Ebitda/profit after tax (16%/12% beat). Star format also reported strong SSSG (+22%) with six store addition. Based on strong revenue productivity, aggressive store additions, margin tailwinds from moderating raw material, and operating leverage, we estimate a CAGR of 41%/52% in revenue/PAT over FY24-26. The continued momentum in Star and improving store metrics offer further upside potential. We reiterate our Buy rating with a revised target price of Rs 7,040, given Trent's strong growth opportunity going forward. .Click on the attachment to read the full report:.Trent Shares Hit Life High After Q1 Net Profit More Than Doubles.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Trent Q1 Results Review - Earnings Beat Continues: Motilal Oswal

Company's continued momentum in Star and improving store metrics offer further upside potential, says the brokerage.

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Trent Q1 Results Review - Earnings Beat Continues: Motilal Oswal

Company's continued momentum in Star and improving store metrics offer further upside potential, says the brokerage.

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