Trent Ltd Q3 FY25 Results Surge: Revenue Soars 34% YoY, Profit Jumps 48% QoQ - Full Analysis
Trent Ltd. delivered a standout performance in Q3 FY2025 (ending Dec 31, 2024), demonstrating substantial growth compared to both the same quarter last year (Q3 FY24) and the preceding quarter (Q2 FY25). The results highlight robust topline momentum, significant profit expansion, and largely stable operational efficiency despite rapid growth.
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Key Trend Analysis (YoY & QoQ)–
1. Revenue From Operations:
Trend: Strong positive growth YoY and QoQ.
Data:
Q3 FY25 (31-Dec-24): ₹ 4,656.6 Cr
Q2 FY25 (30-Sep-24): ₹ 4,156.7 Cr
Q3 FY24 (31-Dec-23): ₹ 3,466.6 Cr
YoY Change: +34.33%
QoQ Change: +12.03%
Analysis: Excellent growth trajectory continues. The substantial YoY increase highlights sustained market momentum and successful expansion. The solid QoQ growth reflects continued consumer demand and likely benefits from the Q3 festive season.
2. Gross Profit:
Trend: Strong positive growth YoY and QoQ.
Data:
Q3 FY25 (31-Dec-24): ₹ 2,040.3 Cr
Q2 FY25 (30-Sep-24): ₹ 1,792.7 Cr
Q3 FY24 (31-Dec-23): ₹ 1,530.1 Cr
YoY Change: +33.34%
QoQ Change: +13.81%
Analysis: Gross profit expanded significantly on both bases. The QoQ growth slightly outpacing revenue growth suggests improving efficiency in managing the cost of goods sold or a favorable product mix during the quarter.
3. EBITDA (Operating Profit):
Trend: Strong positive growth YoY and very strong QoQ.
Data: (Using figures from Deep Dive)
Q3 FY25 (31-Dec-24): ₹ 841.8 Cr
Q2 FY25 (30-Sep-24): ₹ 642.8 Cr
Q3 FY24 (31-Dec-23): ₹ 628.3 Cr
YoY Change: +33.97%
QoQ Change: +30.95%
Analysis: Impressive YoY growth reflects good operational control. The exceptionally strong QoQ surge indicates significant operating leverage, meaning operating costs grew much slower than revenue sequentially.
4. Total Expenses:
Trend: Significant increase YoY, moderate increase QoQ.
Data:
Q3 FY25 (31-Dec-24): ₹ 4,096.1 Cr
Q2 FY25 (30-Sep-24): ₹ 3,743.6 Cr
Q3 FY24 (31-Dec-23): ₹ 3,101.4 Cr
YoY Change: +32.07%
QoQ Change: +9.42%
Analysis: Expenses increased substantially YoY, aligning with business growth. Positively, YoY expense growth (32.1%) was slightly below YoY revenue growth (34.3%). Sequentially, expense growth (9.4%) was significantly lower than revenue growth (12.0%), driving the sharp QoQ profit improvement.
5. Net Profit (Profit/Loss for the Period):
Trend: Strong positive growth YoY and very strong QoQ growth.
Data:
Q3 FY25 (31-Dec-24): ₹ 496.5 Cr
Q2 FY25 (30-Sep-24): ₹ 335.1 Cr (slight difference from summary, using P&L)
Q3 FY24 (31-Dec-23): ₹ 370.6 Cr
YoY Change: +33.99%
QoQ Change: +48.16% (based on P&L Net Profit)
Analysis: Net profit demonstrated healthy YoY growth. The remarkable QoQ surge underscores the benefits of operating leverage and controlled sequential expense increases, allowing a larger portion of revenue gains to flow to the bottom line.
6. Earnings Per Share (EPS – Basic):
Trend: Strong positive growth both YoY and QoQ.
Data:
Q3 FY25 (31-Dec-24): ₹ 13.99
Q2 FY25 (30-Sep-24): ₹ 9.53
Q3 FY24 (31-Dec-23): ₹ 10.53
YoY Change: +32.83%
QoQ Change: +46.79%
Analysis: EPS growth closely mirrored net profit trends, indicating substantial value accretion for shareholders compared to both the previous year and the prior quarter.
Margin Analysis (YoY & QoQ)–
1. Gross Profit Margin:
Trend: Slight compression YoY, slight expansion QoQ.
Data:
Q3 FY25 (31-Dec-24): 43.82%
Q2 FY25 (30-Sep-24): 43.13%
Q3 FY24 (31-Dec-23): 44.14%
Analysis: Minor YoY pressure on gross margin persists, possibly due to input costs or mix. However, sequential improvement QoQ is a positive sign for cost management within the quarter.
2. EBITDA Margin:
Trend: Stable YoY, Strong expansion QoQ.
Data:
Q3 FY25 (31-Dec-24): 18.08%
Q2 FY25 (30-Sep-24): 15.46%
Q3 FY24 (31-Dec-23): 18.13%
Analysis: The company maintained its operational efficiency YoY despite significant scaling. The strong QoQ margin expansion is a key positive, showcasing excellent operating leverage during Q3.
3. Net Profit (PAT) Margin:
Trend: Stable YoY, Strong expansion QoQ.
Data: (Using P&L Net Profit / Total Income)
Q3 FY25 (31-Dec-24): 10.53% (496.5 / 4715.6)
Q2 FY25 (30-Sep-24): 7.97% (335.1 / 4204.7)
Q3 FY24 (31-Dec-23): 10.44% (370.6 / 3547.0)
Analysis: PAT margin remained largely stable YoY, indicating overall costs scaled effectively with revenue over the year. The significant QoQ improvement is a highlight, driven primarily by the expansion in EBITDA margin and controlled sequential expense growth relative to total income growth.
Overall Conclusion–
- Trent Ltd.’s Q3 FY2025 results were outstanding, marked by robust YoY growth (+34.3% Revenue, +34.0% Net Profit) and exceptional sequential performance (+12.0% Revenue, +48.2% Net Profit QoQ).
- The company effectively leveraged strong festive season demand while managing expenses efficiently, particularly on a QoQ basis, leading to significant margin expansion sequentially (EBITDA and PAT). While YoY margins saw slight pressure, the ability to maintain them close to previous year’s levels despite rapid scaling is commendable. The performance points to strong execution, brand resonance, and efficient operations.
Disclaimer-
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