trent

$TRENT Trent reported another strong quarter, although the pace of growth moderated compared with the exceptionally high growth seen over the past few years. Consolidated net profit increased about 22% YoY to around ₹518–532 crore, while revenue from operations grew about 18% YoY to ₹5,755–5,666 crore. EBITDA also posted healthy growth, supported by operating leverage. During the quarter, the company continued its aggressive expansion by adding 19 Zudio stores and 1 Westside store, taking its total retail network to over 1,300 stores. Management remains optimistic about long-term growth driven by Zudio and Westside expansion, but investors were expecting even faster revenue growth, leading to some profit booking in the stock after the results. Why the stock fell despite good results? Revenue growth of ~18% was below the market's very high expectations. Valuation remains expensive, so any slowdown in growth triggered selling pressure. Some brokerages maintained a cautious view due to moderation in same-store sales growth, despite the company's strong long-term expansion strategy.