1. Opening Hook
Another quarter, another grocery retailer discovering that selling tomatoes is easier than making money. Spencer’s Q2 FY26 concall came with familiar ingredients: “buoyancy,” “optimization,” and a strong belief that online will save the day — just not today.
Despite GST chaos, unseasonal rains, and consumers sprinting online faster than Spencer’s can follow, management sounded calm, composed, and mildly optimistic. Offline stores are “optimized,” margins are “at ceiling,” and EBITDA breakeven is always two quarters away.
The star of the show? Jiffy — the 30-minute delivery kid that’s growing fast, burning cash slowly, and being raised very carefully.
Read on — because behind the retail jargon lies a business still searching for scale, stability, and finally… profits.
2. At a Glance
- Revenue ₹445 cr: Down YoY, but QoQ growth of 7% — survival mode with momentum.
- Gross Margin ~21%: Management says this is peak — no more juice left.
- EBITDA ₹0 cr: Flatlined — other income stopped doing charity.
- Sales per sq. ft. ₹1,600: Up from ₹1,200 last year — stores sweating harder.
- Jiffy revenue ₹52.5 cr: Up 30% QoQ — quick commerce showing teeth.
- Online unit economics positive: At order level — corporate overheads still partying.
3. Management’s Key Commentary
“Quarter 2 showed buoyancy despite disruptions.”
(Translation: It could’ve been worse 😏)
“Margins improved 20 basis points quarter-on-quarter.”
(Translation: We’ve hit the ceiling, don’t ask for more.)
“We are not adding offline stores.”
(Translation: Landlords won, Excel lost.)
“Online is the growth driver, but not profitable yet.”
