Patel Retail, the newly listed retail and agri-processing player, announced its unaudited financial results for the quarter ended 30 June 2025. Patel Retail Q1 FY26 results is the first disclosure since its IPO, and it reflected steady revenue growth, healthy profitability, and rising global traction with a strengthened export order book.
🔎 Patel Retail Q1 FY26: Financial Performance
Revenue Trends
- Revenue from Operations: INR 182.45 crore, up ~2.9% year-on-year (Q1 FY25: INR 177.38 crore).
- Total Income: INR 183.19 crore versus INR 178.91 crore a year ago.
- Sequentially, revenue moderated from Q4 FY25’s INR 219.67 crore, largely due to seasonal factors and inventory adjustments.
Profitability
- Profit Before Tax (PBT): INR 9.27 crore, up 12% year-on-year (Q1 FY25: INR 8.28 crore).
- Net Profit (PAT): INR 6.92 crore, compared to INR 6.12 crore in Q1 FY25 — a growth of nearly 13%.
- Earnings Per Share (EPS): INR 2.78 (basic and diluted), versus INR 2.51 YoY.
Cost Structure Analysis
- Cost of Materials Consumed: INR 72.63 crore, sharply lower than Q4 FY25’s INR 115.66 crore, reflecting procurement efficiencies and seasonal moderation.
- Purchase of Stock-in-Trade: INR 97.19 crore, higher than Q1 FY25’s INR 66.97 crore, suggesting a shift in product mix and an expanded retail assortment.
- Inventory Changes: Negative (-INR 26.37 crore), highlighting a destocking strategy to optimize working capital post-IPO.
- Employee Costs: INR 8.31 crore — stable, showing controlled operating leverage.
- Finance Costs: INR 3.83 crore, expected to reduce further as IPO proceeds are utilized to rationalize debt.
Overall, Patel Retail Q1 FY26 margins remained resilient with better working capital management and cost discipline cushioning the impact of lower sequential revenue.
📈 Patel Retail IPO and Market Debut
Patel Retail launched its INR 242.76 crore IPO in August 2025 was a resounding success, subscribed 95.7 times. The offering comprised:
- Fresh issue: INR 217.21 crore (85.18 lakh shares).
- Offer-for-sale: INR 25.55 crore (10.02 lakh shares).
The stock listed on both the NSE and BSE on 26 August 2025, marking a strong entry into capital markets. Proceeds are expected to fund expansion and working capital, bolstering future growth.
🌍 Export Order Book Expansion
On 12 September 2025, Patel Retail announced securing a fresh export order worth INR 22 crore, raising its cumulative export order book to INR 50 crore.
- Global Reach: Orders span Europe, the UK, Canada, Australia, New Zealand, and Singapore.
- Client Loyalty: Patel Retail order book includes repeat orders from long-standing international clients — a clear indicator of trust in Patel Retail’s offerings.
- Execution: All consignments will be processed at the company’s advanced facilities in Ambernath (Maharashtra) and Gujarat, adhering to stringent global quality benchmarks.
This export pipeline significantly strengthens revenue visibility and diversifies income streams beyond domestic retail.
🏪 Business Model & Strategic Positioning
Patel Retail, incorporated in 2008, has built a dual growth engine:
- Value Retail Supermarkets – focused on tier-III cities and suburban markets, delivering “value-for-money” shopping experiences to middle-class consumers.
- Agri-Processing and Exports – supported by backward integration, sourcing directly from farmers and processing in-house, ensuring quality control and cost efficiency.
The company offers a wide mix — food, FMCG, general merchandise, and apparel — serving broad family needs. Recognized as a 4-star export house by the Government of India, it exports to over 35 countries worldwide.
Outlook
- Strong YoY revenue and profit growth.
- Export order book at INR 50 crore provides forward revenue visibility.
- IPO proceeds enhance balance sheet strength and expansion capacity.
- A dual focus on domestic value retail and international exports creates diversified growth drivers.
Patel Retail has delivered a confident first-quarter performance post-IPO. The combination of a growing export pipeline, resilient domestic retail operations, and a strengthened governance framework positions the company as a promising mid-cap retail and agri-export play. If execution remains consistent, FY26 could mark a breakout year for the company, with EPS growth and market expansion reinforcing its long-term investor appeal.
✅ Patel Retail Q1 FY26: Key Highlights
- Q1 FY26 revenue: INR 182.45 crore; PAT: INR 6.92 crore.
- EPS: INR 2.78, up 11% YoY.
- Export order book: INR 50 crore, with repeat client orders.
- IPO raised INR 242.76 crore; oversubscribed 95.7x.
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