Financial Performance Highlights
V2 Retail Limited reported exceptional financial performance for FY26 with revenue from operations increasing by 63% to ₹3,067 crore, marking the second consecutive year of growth above 60%. Profit After Tax more than doubled with 125% growth to ₹162 crore (standalone net profit of ₹163.3 crore). EBITDA grew by 77% to ₹455 crore with margins expanding 120 bps to 14.9%. Return on Equity stood at 26% despite fresh equity infusion of ₹400 crore through QIP.
Operational Expansion & Performance
The company significantly expanded its store network by adding 139 new stores and closing 3 underperforming stores, resulting in a net addition of 136 stores during FY26. The total network reached 325 stores across 25 states and 1 Union Territory, covering over 225 cities. Total retail area expanded by 74% to 35.35 lakh sq. ft. Garments sold increased to 7.7 crore pieces from 5.2 crore in FY25, representing 47% volume growth. Same-store sales growth was 8.58% on a strong base year.
Capital Structure & Financing Activities
V2 Retail successfully raised ₹400 crore through Qualified Institutional Placement in November 2025 by issuing 18,74,414 equity shares at ₹2,134 per share. The company also implemented a 1:10 stock split, subdividing equity shares from face value of ₹10 to ₹1 each. The QIP proceeds were utilized with approximately ₹135 crore used to repay existing debt and ₹165 crore earmarked for retail rollout, supply-chain capability, and digital systems.
Exceptional Items & Subsidiary Performance
The company recognized an exceptional gain of ₹276.9 crore from lease reassessment and an impairment provision of ₹95.5 crore against investment in its wholly-owned subsidiary V2 Smart Manufacturing Private Limited, which reported revenue of ₹438.61 lakh and loss after tax of ₹119.68 lakh for FY26.
Corporate Governance & AGM Matters
V2 Retail has issued notice for its 21st Annual General Meeting scheduled for September 5, 2026, to be held virtually. The key agenda item is the re-appointment of Mr. Ram Chandra Agarwal as Chairman & Managing Director for five years effective from November 22, 2026, with remuneration fixed at up to ₹5 lakh per month plus perquisites. Remote e-voting will be available from August 31 to September 4, 2026, via the InstaVote platform.
Forward Outlook & Strategy
The company is targeting 170-200 new stores in FY27 to reach towards 500 stores, with 30-40% of new stores in newer regions and 50-60% in core markets. Gross margin is expected to remain in the 29-30% band, and working capital is expected to normalize to 90-100 inventory days. The company maintains its focus on private label contribution above 90% of revenue and continues technology deployment including full implementation of merchandising and fleet management software.