Avenue Supermarts slips 6%, hits over 6-month low post Q3 results

In Q3FY23, earnings before interest, taxes, depreciation, and amortization margins declined by 100 bps YoY to 8.6 per cent from 9.6 per cent in Q3FY22

A sub-optimal October-December quarter (Q3) performance during the ongoing financial year (FY23) hammered Avenue Supermarts' stock to over six-month low level on Monday.

The shares plunged 6 per cent to Rs 3,627 apiece in intra-day trade, hitting their lowest level since July 5, 2022. They, eventually, settled 4.75 cent lower at Rs 3,678.65 as against 0.28-per cent dip in the benchmark S&P BSE Sensex.

The sharp knock comes after the Q3FY23 result disappointed investors on revenue growth, margin, and store addition front. Consequently, brokerages have cut their earnings estimate for FY23/24/25 to factor-in the recent financial performance.

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