Avenue Supermarts Invests ₹500 Cr in DMart Ready Amid Losses

Avenue Supermarts has greenlit a substantial ₹500 crore investment into its online grocery subsidiary, Avenue E-Commerce, which operates the DMart Ready platform. This capital infusion, approved at the company’s annual general meeting on August 19, 2026, targets infrastructure and working capital for digital operations.

The move comes as DMart Ready grapples with expanding losses despite revenue growth, prompting a strategic recalibration in a fiercely competitive market.

DMart Ready’s Financial Snapshot

• Revenue for fiscal year 2026 rose by 17% to ₹4,094 crore.
• Net losses, however, expanded to ₹307 crore in FY26, up from ₹247 crore in FY25.

Facing a highly competitive e-commerce landscape, particularly against quick-commerce rivals, Avenue Supermarts is recalibrating its online strategy. The company intends to focus DMart Ready’s efforts on 11 core cities that generate the majority of its digital business.

This targeted approach aims to optimize resource allocation and forge a clearer path toward profitability for the online arm. The strategic pivot directly addresses the rising net losses observed in the preceding fiscal year.

Physical Growth Continues

Concurrently with this digital recalibration, Avenue Supermarts continues its robust expansion of its physical retail footprint. The company added 85 new stores in FY26, bringing its total store count to 500.

The company’s share price closed at ₹3,960 on August 20, 2026, reflecting market observation of these dual strategies.

Stakeholders are now keenly observing how effectively the focused approach for DMart Ready will mitigate its burn rate and improve unit-level economics. The financial implications of this aggressive physical store rollout, alongside the online adjustments, remain a critical point of analysis for the company’s overall trajectory.