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Trent Reports 19 Percent Revenue Growth in First Quarter Brokerages Remain Divided on Outlook
Trent reported a 19 percent year-on-year increase in standalone revenue to Rs 5,666 crore for the first quarter of FY27, slightly below some brokerage expectations. While Bernstein and Morgan Stanley retained positive ratings on the stock, Citi remained cautious, citing weaker store productivity and rising competitive pressures.
By Finblage Editorial Desk
8:55 am
7 July 2026
Shares of Trent are expected to remain in focus after the Tata Group retailer reported standalone revenue of Rs 5,666 crore for the quarter ended June 30, marking a 19 percent year-on-year increase from Rs 4,781 crore in the corresponding period last year. The revenue growth was marginally below the expectations of some brokerages, leading to mixed views on the company's near-term outlook.
During the quarter, Trent expanded its retail network by opening one new Westside store and 19 Zudio outlets, taking its total store count across formats to 1,312 as of June 30. While Zudio continued to witness healthy expansion, Westside store additions remained relatively muted.
Bernstein maintained its Outperform rating on Trent with a target price of Rs 3,500. The brokerage said the revenue growth was slightly below its estimates but remained confident that the slower store additions during the quarter would not affect the company's FY27 expansion plans. It noted that the June quarter has historically been the weakest period for store additions and expects expansion activity to accelerate in the coming quarters.
Morgan Stanley also retained its Overweight rating but assigned a target price of Rs 3,151, below the stock's latest closing price. The brokerage highlighted that first-quarter revenue growth was marginally below expectations but expects EBITDA margins to expand by around 100 basis points year-on-year. However, it cautioned that the stock's strong recent rally could limit near-term upside despite the company's healthy operating performance.
In contrast, Citi reiterated its Sell rating with a target price of Rs 2,733. The brokerage pointed to weaker-than-expected revenue growth and a 12.2 percent year-on-year decline in revenue per square foot. It also expressed concerns over weakening store productivity, intensifying competition in the value fashion segment and the potential for store cannibalisation as the retail network expands.
Despite the mixed brokerage commentary, Trent continues to be regarded as one of the leading players in India's organised apparel retail market, supported by the continued expansion of its Westside and Zudio brands. The company's execution strategy and store rollout remain key factors that investors will monitor in the coming quarters.
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