Trent Q2 FY27 results: net profit up 25.4% to ₹468.09 crore, revenue up 21.9%

How did Trent perform in Q2 FY27?

Trent reported consolidated revenue of ₹5,873 crore for Q2 FY27, up 21.9% from ₹4,818 crore in Q2 FY26 and 2.1% above ₹5,755 crore in Q1 FY27. EBITDA was ₹1,078 crore, up 31.9% from ₹817.08 crore a year earlier, though it was down 4.5% from ₹1,129 crore in the previous quarter. The EBITDA margin was 18.4%, 1.4 percentage points above the year-ago quarter and 1.2 percentage points below the sequential quarter.

Profit before tax was ₹640.12 crore, up ₹162.04 crore from ₹478.08 crore a year earlier but down ₹61.46 crore from ₹701.58 crore in Q1 FY27. Net profit was ₹468.09 crore against ₹373.42 crore a year earlier and ₹518.07 crore in the previous quarter, with the PAT margin at 8.0% against 7.8% a year earlier. Basic EPS was ₹8.70, down ₹1.90 from ₹10.60 a year earlier and ₹1.03 from ₹9.73 in Q1 FY27.

On the standalone basis, revenue was ₹5,787.64 crore, up 22.5% from ₹4,724.06 crore in the year-ago quarter, and net profit was ₹489.65 crore against ₹450.77 crore. Standalone basic EPS was ₹9.18, compared with ₹8.45 in Q2 FY26.

What changed in Trent's costs and profit?

Total expenses rose ₹891.98 crore, or 20.4%, to ₹5,259 crore from ₹4,367 crore in the year-ago quarter. Employee cost was ₹410.86 crore, up ₹94.19 crore or 29.7%, depreciation was ₹419.80 crore, up ₹94.87 crore or 29.2%, and other expenses were ₹1,121 crore, up ₹203.36 crore or 22.2%. Finance costs were ₹44.28 crore, up ₹2.66 crore or 6.4%.

Other income was ₹26.11 crore, down ₹1.44 crore or 5.2% from ₹27.55 crore a year earlier. Tax expense rose ₹47.41 crore or 45.8% to ₹150.97 crore from ₹103.56 crore, against profit before tax that rose ₹162.04 crore or 33.9% to ₹640.12 crore. There was no exceptional item in the quarter.

Against the previous quarter, total expenses were up ₹176.17 crore or 3.5% at ₹5,259 crore, with employee cost up ₹40.07 crore or 10.8% and depreciation up ₹9.64 crore or 2.4%. Other expenses fell ₹49.44 crore or 4.2% and finance costs fell ₹2.71 crore or 5.8%, while other income fell ₹3.72 crore or 12.5% and tax fell ₹22.80 crore or 13.1%. Net profit fell 9.6% and the PAT margin was 1.0 percentage point lower at 8.0%.

How did the first half of FY27 go?

For H1 FY27, consolidated revenue was ₹11,627.85 crore, up ₹1,926.69 crore or 19.9% from ₹9,701.16 crore in H1 FY26. Total income rose ₹1,914.49 crore or 19.6% to ₹11,683.79 crore, and profit before tax increased ₹308.14 crore or 29.8% to ₹1,341.70 crore from ₹1,033.56 crore.

Net profit for the first half was ₹986.16 crore, up ₹188.04 crore or 23.6% from ₹798.12 crore in H1 FY26. Basic EPS for the half was ₹18.43, down ₹4.26 or 18.8% from ₹22.69 a year earlier.

What do the balance sheet and cash flow show?

At 30 September 2026, total assets were ₹12,603.24 crore against ₹11,728.58 crore at 31 March 2026, and total equity was ₹7,896.20 crore against ₹7,107.96 crore. Borrowings were ₹489.41 crore compared with ₹499.89 crore, while cash fell to ₹181.26 crore from ₹281.36 crore. Inventories rose to ₹2,840.91 crore from ₹2,289.01 crore, trade receivables fell to ₹35.00 crore from ₹51.14 crore, and trade payables rose to ₹1,736.57 crore from ₹1,210.66 crore.

For H1 FY27, operating cash flow was ₹1,485.58 crore against ₹1,532.39 crore in H1 FY26. Investing outflow was ₹781.35 crore against ₹1,029.11 crore, financing outflow was ₹804.30 crore against ₹648.63 crore, and capital expenditure was ₹696.83 crore against ₹1,046.53 crore.

How has Trent done over the last 8 quarters?

Revenue rose year on year in each of the last eight quarters. Over the last eight quarters, revenue bottomed at ₹4,216.94 crore in Q4 FY25 and reached ₹5,873.14 crore in Q2 FY27, the highest in the series. Profit after tax bottomed at ₹311.60 crore in Q4 FY25 and peaked at ₹518.07 crore in Q1 FY27 before easing to ₹468.09 crore in the quarter just reported.

The EBITDA margin bottomed at 15.5% in Q4 FY25 and peaked at 20.2% in Q3 FY26. It was 19.6% in Q1 FY27 and eased to 18.4% in Q2 FY27. Profit after tax rose year on year in each of the last six quarters.

What else did the company announce?

In a same-day filing, Trent said Noel N. Tata will retire from the office of Chairman and Director with effect from the close of business hours on 11 November 2026, after being associated with the company since 1997. The board appointed him Chairman Emeritus from 12 November 2026 and appointed Bahram Vakil as Chairman from the same date.

The board also approved the appointment of Rajiv Dube as an Additional Director (Non-Executive, Non-Independent) with effect from 30 October 2026, subject to shareholder approval, and the appointment of Kalpana Merchant as an Additional Director and Independent Director for three years from 30 October 2026 up to 29 October 2029, subject to shareholder approval. Separately, the board approved the unaudited standalone and consolidated results for the quarter and half-year ended 30 September 2026, with limited review reports from Deloitte Haskins & Sells LLP.

What did Trent's management say?

Management said the network reached 1,342 stores across 339 cities, fashion like-for-like growth was mid-single digits, H1 Westside online revenue grew 20% and Star revenue grew over 20%. The company expects the trajectory of new store openings to remain broadly consistent on an annual basis and aims at maintaining a relatively stable margin profile over time.

Management said it is accelerating the forward deployment and integration of several AI and digital initiatives over the near to medium term. It listed elevated inflation, volatile geopolitics, interest-rate trends, supply-chain disruptions and high competitive intensity as important operating flags, and noted that quarterly store openings are asymmetric because of property development, fit-out timelines and regulatory approvals.

Management also flagged that newer and secondary-market stores have longer maturity profiles and are not entirely comparable with the established portfolio, and that Burnt Toast, Samoh and new geographies remain at varying stages of evolution while Trent continues to make substantial internal-accrual investments in growth and resilience. Capital expenditure plans include opening new stores, refreshing selected stores, expanding warehousing and supply-chain infrastructure, and investing in automation and technology.

How did Trent shares react?

The filing appeared after market. From the price when the filing appeared, the stock was unchanged after 5 minutes, up 0.7% after 15 minutes and up 0.2% after 30 minutes. On the reaction day it closed 5.4% above its previous close of ₹2,861.70, and by the next day's close it was up 6.5% from that pre-results close.

The Speciality Retail industry median moved 1.2% lower on the reaction day, leaving Trent ahead of the sector by 6.6 percentage points, and 0.2% lower by the next day's close, leaving a 6.7 percentage point gap. The Nifty 100 was up 0.3% on the reaction day and 2.0% by the next day's close. Earlier results-day moves included 5.8% on 29 April 2025, 2.8% on 4 February 2026, 3.8% lower on 22 April 2026 and 0.1% lower on 6 August 2026.

How did other Speciality Retail companies do?

Ten other Speciality Retail companies that have filed this quarter were compared, with a median revenue growth of 13.4%. Six of them grew slower than Trent and four grew faster. Of the eight peers for which profit was compared, five reported higher profit.