Trent Limited, the retail arm of the Tata Group and operator of popular brands Westside and Zudio, reported a 40 per cent increase in net sales for the quarter ending September 2024, reaching Rs 4,036 crore.
Despite the strong sales figures, consumer demand remained relatively muted, with seasonality and cautious spending tempering growth, according to Trent's chairman, Noel Tata. While the retailer posted a 46 per cent year-on-year rise in net profit to Rs 423 crore, it narrowly missed Bloomberg's projection of Rs 431 crore, leading to a 6.54 per cent decline in Trent's stock on the BSE, closing at Rs 6,498.45 per share.
The company attributed its resilience in a challenging market to strategic efforts in product enhancement, store expansion, and supply chain management. This quarter, Trent opened 43 new stores, including seven Westside and 34 Zudio outlets, and expanded internationally with its first Zudio store in Dubai.
As of September, the company's retail footprint spanned 226 Westside stores, 577 Zudio stores, and 28 additional lifestyle concept outlets across 184 cities, underscoring its focus on becoming more accessible to customers.
Trent also reported consistent gross margins across its Westside and Zudio brands. Emerging segments such as beauty, personal care, innerwear, and footwear now make up about 20 per cent of its revenue, highlighting a shift toward diversified offerings. Additionally, online sales through Westside.com and the Tata Neu super app contributed around 5 per cent to Westside’s revenue, with both platforms continuing to grow profitably.
Looking ahead, Trent said it aims to leverage its direct-to-consumer business model and expand its presence further. New initiatives include the recent launch of Zudio Beauty in India, as the company seeks to strengthen its position in untapped categories and deepen connections with customers.
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