The share price of Trent, the parent company of retail businesses Zudio and Westside, surged nearly 13% intraday today, October 6. The stock is in focus after it released its business updates for the second quarter of financial year 2027.
The stock breached its upper circuit of 10% and later soared even higher, to a more than one-month high of Rs 2,909. It gave up some of the gains and was trading 11% higher. The company’s Q2 revenue growth was also higher than brokerage house Motilal Oswal’s projections.
The stock was the top gainer in the Nifty 50, Nifty 200, and Nifty 500.
The company’s standalone revenue for the quarter grew 23% year-on-year to Rs 5,788 crore. Trent’s revenue in the first half of FY27 was up 21% YoY at Rs 11,454 crore.
Trent’s revenue from sale of merchandise, excluding other operating income, also grew by 23% for Q2 and 21% in the first half of the year.
Trent net opened 10 Westside stores and 17 Zudio stores during the second quarter. The company opened its 1000th Zudio Store in Q2, taking its portfolio to 1,342 stores across Westside, Zudio, and other lifestyle brands.
The company’s standalone revenue growth of 23% was higher than Motilal Oswal’s estimate of 18%. The revenue growth was primarily driven by an increase in stores, the brokerage said. The company’s revenue per store declined around 1% YoY, against -5% in Q1, indicating “easing of cannibalisation impact,” Motilal said.
The brokerage has a ‘Buy’ recommendation on the stock.
The company’s board meeting for the financial results for the second quarter and the first half of FY27 will be held on October 29.
In Q1, the company had reported a 26% YoY growth in standalone net profit at Rs 531.77 crore. Its revenue for the quarter was Rs 5,666.3 crore, up 19%. Its operating earnings before interest, tax, depreciation, and amortisation (EBITDA) for the quarter was Rs 847 crore. Its operating EBIT was Rs 732 crore and EBIT margin was at 12.9%.