V-Mart Retail Q2FY26 FY25-26 – 22% Revenue Growth, 25 New Stores, 109x P/E, and Still Cheaper Than Your Wedding Lehenga
1. At a Glance
V-Mart Retail Ltd, the Tier-2/3 city fashion mall with kirana-like discipline, clocked ₹807 Cr revenue in Q2FY26, up 22% YoY. Same store sales growth (SSSG) = +11%, proving small-town India is still buying kurtas, slippers, and Diwali curtains like there’s no tomorrow.
Market cap sits at ₹5,769 Cr, stock price at ₹727, but brace yourself — P/E = 109. Yes, you read right. For perspective, that’s higher than a Delhi wedding DJ’s volume button. ROE? Barely 3.08%. Book value? ₹102 vs CMP ₹727 (PB 7.1). Investors are basically betting that this “value retailer” will one day discover “value” for shareholders too.
2. Introduction
Imagine a Big Bazaar clone that refused to die and instead became the poster boy of Tier-II and Tier-III India fashion consumption. That’s V-Mart.
Founded as a value-retail chain focused on small-town households, V-Mart sells apparel at price points between ₹80–₹800 (average basket ₹334). They cater to the India that prefers buffalo milk over almond milk, and sarees over Zara.
But despite this “affordable India” theme, the stock trades like a premium Gucci handbag. 109x P/E for a company with 3% ROE is like paying Taj Hotel rates for railway platform chai.
3. Business Model – WTF Do They Even Do?
V-Mart runs 533 stores (as of Sept 2025) in Tier-II to Tier-IV towns. Formats:
V-Mart Plus & Aspire: Clothes for everyone from toddlers to tandoor chefs.
V-Mart Corporate: Basically “Pantaloons with less pant and more loon.”
V-Mart Values: Cheap fashion for the mass market.
LimeRoad (digital): Their attempt at online fashion — initially a bleeding mess, now turning into a “less bleeding” mess.
80% revenue = apparel, 20% = footwear + FMCG + random household items you didn’t know you needed. Their USP = low-cost focus and heavy presence in small-town India where Reliance Trends and DMart are not omnipresent.
So yeah, WTF do they do? They’re the Primark of India — but instead of London high street, they sell in Gaya, Gorakhpur, and Guwahati.
4. Financials Overview
Quarterly Comparison
Source table
Metric
Q2FY26
Q2FY25
Q1FY26
YoY %
QoQ %
Revenue (₹ Cr)
807
661
885
+22%
-8.8%
EBITDA (₹ Cr)
114*
68
126
+67%
-9.5%
PAT (₹ Cr)
34
12
19
+177%
+79%
EPS (₹)
4.23
1.53
2.34
+177%
+81%
(*EBITDA approx, based on OPM 14%).
Commentary: YoY numbers look solid. QoQ decline in revenue is seasonal (Q1 had festivals/summer demand). EPS annualized = ~₹17. At CMP ₹727, forward
