Shoppers Stop Results: Stock falls 12% after reporting weak Q3 FY26 earnings

Synopsis:- The stock slid up to 12% after weak Q3 results, as 3% YoY revenue growth and a 69% profit decline dented sentiment. Despite 13% QoQ sales growth, premium-led mix and store additions, uneven consumption trends, and cautious outlook weighed on investor confidence.

The shares of the leading premier retailer of fashion and beauty brands plummeted up to 12 percent in today’s trading session after the company reported weaker Q3FY26 earnings because of external factors such as festive calendar shifts and uneven consumption trends. 

With a market capitalization of Rs 3,766.94 crore, the shares of Shoppers Stop Ltd were trading at Rs 342.60 per share, decreasing around 6 percent as compared to the previous closing price of Rs 364.25 apiece.

Q3FY26 Highlights

The shares of Shoppers Stop Ltd have seen bearish movement after announcing its financial performance in Q3FY26, in which revenue increased by 3 percent on a year-on-year basis from Rs 1,379 crore in Q3FY25 to Rs 1,416 crore in Q3FY26. However, on a Quarter-on-Quarter basis, revenue zoomed by 13 percent from Rs 1,257 crore in Q2FY26 to Rs 1,416 crore in Q3FY26.

Moreover, Net profit declined sharply by 69% year-on-year, falling from  Rs 52 crore in Q3FY25 to  Rs 16 crore in Q3FY26. However, on a quarter-on-quarter basis, the company staged a recovery, swinging from a  Rs 20 crore loss in Q2FY26 to a  Rs 16 crore profit in Q3FY26.

Furthermore, in Q3FY26, reflect a healthy mix of growth and stability. Premium brands drove 69% of sales with steady LFL growth, while the beauty segment stood out with strong 14% YoY growth. INTUNE posted robust traction, supported by higher ATV and ASP, alongside rising customer footfalls for the second straight quarter.

During Q3FY26, Shoppers Stop expanded its footprint by opening 3 department stores, 3 INTUNE stores, and 1 HomeStop store. Quarterly capex stood at ₹35 crore, taking YTD capex to ₹89 crore. The company reduced working capital during the quarter, while net debt remained stable at ₹90 crore.

Management comments

Management commentary from Shoppers Stop reflects continued pressure from weak discretionary demand and uneven consumption trends. Festive calendar shifts impacted sales momentum, while INTUNE demand remained subdued. Despite progress in premium brands and store upgrades, near-term growth appears constrained, with recovery largely dependent on an improvement in broader macro conditions.

Shoppers Stop is one of India’s leading department store chains, offering fashion, beauty, accessories, and home products. With a strong presence across major cities, the company focuses on premium brands, experiential retail, and omnichannel capabilities to enhance customer engagement and long-term growth.

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