Spencer’s Retail Q1FY26 Results: Consolidated EBITDA Jumps 50%; Revenues and Net Profits Decline

Kolkata, July 30, 2025 — Spencer’s Retail Limited (NSE: SPENCERS, BSE: 542337) reported its consolidated financial performance for the quarter ended June 30, 2025 (Q1FY26). Despite significant cost control measures and a 50% increase in consolidated EBITDA, the net loss widened to ₹61.6 crores. The company faced pressure on both revenues and margins as the overall customer sentiment remained sluggish.

Consolidated Financial Highlights

The company posted consolidated revenue from operations at ₹416 crore in Q1FY26, marking a 1% sequential increase from ₹412 crore in Q4FY25, but a 24.2% decline YoY from ₹548 crore in Q1FY25 due to a reduced store footprint. The company recorded a 50% QoQ growth in consolidated EBITDA, reaching ₹15 crore compared to ₹10 crore in the previous quarter. On a YoY basis, EBITDA doubled from ₹8 crore in Q1FY25. The EBITDA margin improved by 119 basis points sequentially to 4.2%.

Spencer’s Stock Price Movement

The share closed at ₹59.80 on Wednesday, 0.66% lower than the previous day’s closing price. The low-high range of the day was ₹59.30 and ₹61.48. The stock has plummeted by almost 26% in the past six months. It is currently trading close to the 52-week low of ₹55.15. The stock’s P/E ratio is -2.20.

Segment-Wise Performance

Spencer’s Standalone

Spencer’s standalone revenue declined 1.4% QoQ to ₹346 crore. Despite the lower base, the company delivered gross margin of 19.1%, up 133 bps sequentially. EBITDA surged 50% QoQ to ₹15 crore, and doubled YoY. Cost discipline contributed to the improvement, with employee and other expenses decreasing sequentially.

Nature’s Basket Limited (NBL)

Nature’s Basket reported a 13% QoQ revenue increase to ₹69 crore, though revenue was down 5% YoY. Margins improved significantly to 28.2%, up 247 bps QoQ. EBITDA turned positive at ₹0.8 crore, reversing a loss of ₹4.7 crore in the previous quarter.

Strategic & Operational Developments

• New Store Launches: Spencer’s added 1 new store during Q1FY26, taking the total count to 90. Nature’s Basket added 1 store as well, taking its count to 31.
• Launch Initiatives: Nature’s Basket relaunched premium outlets in Mumbai (Malad and Goregaon) and introduced a new express delivery app promising delivery within 30 minutes.
• Jiffy Quick Delivery App: Spencer’s continued promotion of its fast-delivery platform to enhance customer convenience.

Management Commentary

The company did not issue direct quotes in the investor release, but emphasized “tight control on costs” and noted margin recovery despite a “lower sales base.” The management will elaborate further during its scheduled earnings call on July 31, 2025, at 12:00 PM IST.

Company Overview

Spencer’s Retail Limited, part of the RP-Sanjiv Goenka Group, operates a pan-India multi-format retail chain. The company runs 121 stores (including Nature’s Basket) across 23 cities, offering products in categories such as FMCG, apparel, electronics, and gourmet foods. Spencer’s also owns the omnichannel platform ORIPL, offering both physical and digital retail experiences.

REF:https://nsearchives.nseindia.com/corporate/SPENCERS_30072025163207_IP_Final.pdf

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