Metro Brands Reports Strong Q4 Results, Shares Surge 5%
Metro Brands gains 5% on posting healthy Q4 results; PAT up 24% YoY

Image: Business Standard
Metro Brands' shares rose by 5.4% following the release of its Q4FY26 results, showing a 23.5% increase in net profit to ₹118 crore and a 20.3% rise in revenue to ₹773 crore. The growth was driven by seasonal demand and a reduction in GST rates for footwear under ₹2,500.
- 01Metro Brands opened 47 new stores during Q4FY26 while closing 5 stores.
- 02Earnings before interest, tax, depreciation, and amortisation (Ebitda) rose to ₹238 crore, with an Ebitda margin of 30.8%.
- 03Ecommerce sales surged by 53%, contributing to 12.2% of total revenue.
- 04ICICI Securities has set a new target price of ₹1,100 for Metro Brands, down from ₹1,150.
- 05New growth initiatives like Fila and Foot Locker are gradually diversifying Metro's portfolio.
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Metro Brands experienced a notable 5.4% increase in its share price on the Bombay Stock Exchange (BSE) following the announcement of its Q4FY26 results. The company's net profit reached ₹118 crore (approximately $14.2 million USD), marking a 23.5% year-on-year increase from ₹95 crore. Revenue from operations also rose to ₹773 crore (about $93 million USD), up 20.3% from ₹643 crore in the same quarter last year. The growth is attributed to heightened demand during the festive and wedding seasons, alongside a reduction in goods and services tax (GST) for footwear priced below ₹2,500. The company also expanded its footprint by opening 47 new stores, although it closed 5 during the same period. Ecommerce sales witnessed a significant growth of 53%, now accounting for 12.2% of total revenue. ICICI Securities has maintained an 'Add' rating on the stock, adjusting the target price to ₹1,100 from ₹1,150. The brokerage emphasized Metro's robust execution quality and profitability profile, while also noting potential supply disruptions and elevated working capital levels as areas to watch.
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The strong financial performance indicates a positive outlook for Metro Brands, potentially leading to further store expansions and job creation in the retail sector.
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