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, ETMarkets.comLast Updated: Oct 05, 2026, 10:06:00 AM IST

Synopsis

V2 Retail shares fell 20% despite a 28.4% year-on-year rise in Q2 FY27 revenue to Rs 905 crore, driven by continued store expansion. Same-store sales growth stood at 0.5% on a festival-normalised basis but declined 14.9% on a calendar basis due to the shift in Navratri and Durga Puja. The company expects stronger demand in Q3.

Shares of V2 Retail crashed as much as 20% to their day’s low of Rs 162.55 on the BSE on Monday, even as the company reported a 28.4% year-on-year (YoY) increase in revenue for the second quarter of FY27. The company attributed the growth to the continued expansion of its store network.

V2 Retail said same-store sales were broadly stable on a festival-normalised basis, while the shift of Navratri and Durga Puja from the second quarter last year to the third quarter this year affected reported same-store sales growth.

Standalone revenue stood at Rs 905 crore in Q2 FY27, compared with Rs 705 crore in Q2 FY26, marking a 28.4% YoY increase. The company said this growth came despite the festive season shifting from Q2 last year to Q3 this year.

On a festival-normalised basis, which compares each day of the quarter with the corresponding day of last year's festival calendar, same-store sales growth stood at 0.5% in Q2 FY27. On a calendar basis, SSSG was -14.9%, as the base quarter, Q2 FY26, included the Navratri and Durga Puja period, while these festivals fall in October 2026, or Q3 FY27, this year.

V2 Retail said the timing shift highlights the importance of looking through seasonal distortions to assess the underlying stability of its performance. Monthly sales per square foot stood at Rs 700 in Q2 FY27. The company said the quarter did not include the Navratri and Durga Puja season, while a larger portion of its store network is still in the ramp-up phase.

Of the company's 427 stores, 106 were opened during the first half of FY27. V2 Retail said these factors reflect the natural ramp-up cycle of new stores and the timing of the festive season, while also highlighting the scalability of its expanding store footprint.

With the festive season ahead, the company said it is positioned to capture the demand uplift in Q3 while sustaining its long-term growth momentum.

Disclaimer: This article has been written by Veer Sharma, who is not a SEBI-registered Research Analyst or an Investment Adviser. Veer Sharma and his ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here.

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