Trent Q2 revenue rises 23 per cent to Rs5,788 crore

MUMBAI: Trent is putting the pedal to the retail metal, with revenue picking up pace just as Zudio hits a four-digit store count. Trent Ltd, the Tata Group’s retail arm, reported a 23 per cent year-on-year rise in standalone revenue from operations to Rs5,788 crore in Q2 FY27, compared with Rs4,724 crore in the corresponding quarter last year. The quarter also delivered a significant expansion milestone, with its value fashion brand Zudio opening its 1,000th store.

The company, which operates fashion and lifestyle brands including Westside, Zudio and Utsa, along with Star Bazaar and Zara through joint ventures, ended the quarter with 1,342 stores across Westside, Zudio and its other lifestyle formats as of September 30, 2026.

Store expansion remained firmly on the agenda during the quarter. Trent added 10 Westside stores and 17 Zudio stores on a net basis in Q2 FY27, taking the combined additions across the two formats to 27 stores in the three months.

The expansion came alongside a 23 per cent year-on-year increase in revenue from the sale of merchandise, excluding other operating income. For the first half of FY27, merchandise revenue rose 21 per cent year on year, underlining that the growth is not being driven purely by the addition of new stores.

Zudio continues to be the bigger engine of Trent’s physical expansion. The brand added 17 net stores during Q2 FY27, compared with 10 for Westside, while its first-half store additions were even more pronounced.

During H1 FY27, Trent added 36 Zudio stores and 11 Westside stores on a net basis, taking the combined additions across the two formats to 47 stores in the first six months of the financial year.

The 1,000th Zudio store therefore arrives as part of a much wider retail rollout. With the overall portfolio reaching 1,342 stores by the end of September, Trent is continuing to push its fashion formats deeper into the Indian retail market.

However, the company’s latest disclosure does not provide a format-wise revenue split for Zudio, Westside and its other lifestyle businesses. As a result, the individual contribution of the two flagship formats to the Rs5,788 crore quarterly revenue cannot be established from the disclosure.

Trent’s September-quarter performance also represents an improvement over the immediately preceding quarter. Standalone revenue from operations stood at Rs5,788 crore in Q2 FY27, up from Rs5,666 crore in Q1, translating into a sequential increase of around 2.2 per cent.

The year-on-year growth rate also accelerated during the quarter. Revenue growth moved from 18.5 per cent in Q1 FY27 to 23 per cent in Q2, giving the retailer a stronger second-quarter showing.

For the first half of FY27, standalone revenue from operations stood at Rs11,454 crore, compared with Rs9,505 crore in H1 FY26. That represents 21 per cent year-on-year growth and effectively combines the Rs5,666 crore recorded in Q1 with Rs5,788 crore in Q2.

Merchandise revenue followed a similar trajectory, increasing 23 per cent year on year in Q2 and 21 per cent during the first half. The numbers suggest that store expansion and merchandise sales are moving broadly in tandem rather than the revenue increase being solely a footprint story.

Trent’s latest Q2 update is primarily focused on revenue and store expansion, so the company has not disclosed Q2 FY27 net profit, EBITDA, EBITDA margin or gross margin in the information available.

Its Q1 numbers, however, had shown an improvement in profitability. Net profit rose 26 per cent year on year to Rs532 crore, while EBITDA increased 32.6 per cent to Rs1,110 crore.

EBITDA margin stood at 19.6 per cent in Q1 FY27, compared with 17.5 per cent in the year-ago quarter. Gross margin also improved to 46.6 per cent from 45.1 per cent.

Those figures cannot be directly carried into the September quarter, since Trent has not yet provided the corresponding Q2 profitability numbers in the current disclosure. The latest update therefore keeps the spotlight firmly on revenue growth, merchandise sales and store additions.

The expansion comes against a retail environment where consumers are still balancing aspirations with financial discipline. Trent has pointed to potential near-term implications from disruptions linked to the West Asia conflict, supply-chain effects, commodity prices and inflation.

Despite those pressures, the company said discretionary demand remained calibrated rather than showing a material deterioration. It also reported that it had not seen any material shift in competitive intensity during the recent period.

The Star food and grocery business, meanwhile, saw encouraging consumer traction, adding another positive note to Trent’s wider retail portfolio. The business therefore enters the second half of FY27 with its fashion formats expanding while its broader retail operations continue to navigate a more measured consumer environment.

For now, the numbers paint a fairly clear picture of Trent’s retail strategy. Revenue has climbed 23 per cent to Rs5,788 crore, merchandise sales have grown at the same pace in Q2, the first-half revenue has reached Rs11,454 crore and the store network across Westside, Zudio and other lifestyle brands has expanded to 1,342 outlets.

But the headline milestone belongs to Zudio. Crossing 1,000 stores turns what began as a fast-growing format into a sizeable national retail network, while 36 net Zudio additions in just the first half of FY27 show that Trent is still keeping its expansion engine running.