About the Company:

Trent Ltd. is a part of the Tata group, with the Tata group holding 37% (Tata Sons Pvt Ltd holding 32.45%) as of Mar 24. The Group comprises of 100 operating companies, in various business sectors and operates in over 80 countries across 6 continents. Trent Ltd is engaged in retailing of apparels, footwear, accessories, toys, games, food, grocery & nonfood products through various of its retail formats/ concepts.

Business segments:

Company has 2 major business segments Fashion and Lifestyle and Food and Grocery. Under Fashion and Lifestyle segment company has 4 brands which includes Westside, Zudio, Utsa and Samoh. Under Food and Grocery company has 2 brands which includes Star and Booker.

Westside is the Trent’s leading lifestyle concept launched in 1998 and offers branded fashion apparel, footwear and accessories for women, men and children, along with a wide range of home furnishings and décor. Westside has an active presence in all aspects of the value chain, including design, production, supply chain, stores and customers. It offers a differentiated portfolio of exclusive in-house-designed brands that are in sync with the latest fashion trends, appealing to a wide spectrum of style-conscious consumers across defined customer segments. Westside currently operates 248 stores across 86 cities with 5.4 Mn+ Retail area (sq. ft.) and additional online reach across India exclusively through Westside.com, Tata Cliq and Tata Neu.

Figure 1Westside Brand Portfolio

Its brand Zudio started in 2016 —  is anchored around accessibility. It offers function and fashion at irresistible prices for women, men and children. The exclusive offerings are curated in-house and made available at very sharp price points. Zudio has evolved into a rapidly growing concept that appeals to all with a deep commitment to being accessible across facets — fashion, reach and lifestyle. Currently Zudio operates 765 stores in 235 cities including Dubai with 7.9 Mn+ Retail area (sq. ft.). Zudio stores are present in attractive and prominent locations, and aim to offer an exciting shopping experience for customers.

In 2019 company launched Utsa brand which is a modern Indian woman’s lifestyle destination. The Utsa store offers the best of Westside's apparel, footwear, innerwear, beauty and accessories, appealing to the creative, discerning and aspiring woman. Currently it has 22 stores across 12 cities spread over 2,000-3,000 sq ft..

In 2023 company launched SAMOH which is an elevated and differentiated occasional wear concept that focuses on elegant, expressive, modern silhouettes that emphasise versatility. With premium fabrics, intricate designs, and attention to detail, SAMOH aims to be the go-to brand for customers looking for occasion wear that is both stylish and timeless and provide a compelling touch of luxury and sophistication to its customers while they shop for their special moments. SAMOH caters to those who appreciate luxurious and modern takes on cherished designs and motifs from the Indian hinterland. SAMOH’s range draws inspiration from traditional roots and blends it seamlessly with modern aesthetics. Company Launched the first store in Lucknow in 2023 and as of FY24, it has two new stores in Bangalore and Mumbai. 

Company also has Misbu brand which was earlier known as Landmark and it has been revamped into Misbu, which offers beauty and fashion accessories targeted at Gen Z and millennials. It operates 10 stores across 6 cities. It has 2 separate associations with the Inditex group of Spain with a shareholding of 51% (Inditex): 49% (Trent) – one entity to operate Zara stores (operates 23 stores across 12 cities) and the other for Massimo Dutti stores (operates 3 stores across 2 cities) in India. These entities recorded revenues of Rs. 2,870 Cr in FY24. Trent has also introduced a range of creative kitchenware through an exclusive tie-up with a British company Lakeland. Stores are currently present in Pune and Bengaluru.

Under Food and Grocery company owns Star Bazzaar brand which was launched in 2014 which include FMCG, staples, and fresh offerings (vegetables, fruits, dairy & non-vegetarian products). It operates 78 stores in 10 cities comprising of 1.3 Mn+ Retail area (sq. ft.). Company has also launched My STAR App with an objective to build stickiness with STAR users through customized offerings.

Figure 2 Star Bazzaar Brand Portfolio

Figure 3 Product Category Split

Company also operates Booker India Ltd which was acquired in FY20, operates 4 cash and carry stores under the Booker Wholesale banner, with a footprint of 15,000-20,000 sq ft., etc.

Fundamentals:

Financial Results:

Trent has reported consolidated revenue of 4218Cr. in Q4FY25 with 28%, its Op. EBIT reached 362Cr. with 49% and PBT reached 416Cr with 40% jump compared to previous year respectively.In last 6 years company’s Revenue grew by 42% CAGR and its PBT margins reached 11% and 453Crs. in Q4Fy25. Company’s Market Cap also grew by 62% CAGR in last years. Star Bazaar’s revenue grew by 28% CAGR and Zudio’s store count grew by 55% CAGR.

Key Highlights:

• Westside has recently inaugurated its newest store in Mira- Bhayandar, Thane with an aim to inspire fashion enthusiasts and the store is spread across 22274 sq ft. This new store seamlessly embodies the brand's vision of delivering an extraordinary retail experience, providing customers with contemporary and modern fashion trends at an exceptional value. It is committed to offering a seamless shopping experience, with meticulously arranged and clutter-free displays that highlight the newest fashions.
• Westside has also collaborated with ace designer duo Saaksha & Kinni for an exclusive home décor collection. The collaboration stands as a tribute to Westside's remarkable 25-year journey of setting trends, inspiring lifestyles, and bringing joy to customers. It represents a celebration of our unwavering dedication to delivering quality, comfort, and style to every household.
• SAMOH unveiled Luxe Leisure, a collection that artfully merges refined sophistication with effortless comfort. Luxe Leisure offers a versatile wardrobe that effortlessly transitions from professional to social settings, ensuring you are impeccably dressed for every occasion—whether it’s a casual day out or a relaxed evening event.

Conclusion:

Trent Limited presents a compelling case for long-term investors seeking exposure to India’s evolving retail sector. With a robust brand portfolio, strategic expansion, and consistent financial performance, the company has demonstrated resilience and adaptability in a competitive landscape. Its prudent management, focus on customer experience, and growing presence in both physical and digital retail channels underscore its potential for sustained growth.

However, like any investment, risks remain—ranging from macroeconomic fluctuations to rising competition. Therefore, investors should continue to monitor key financial indicators, expansion outcomes, and market dynamics.

For those with a medium to long-term horizon and an appetite for quality retail stocks, Trent Limited stands out as a promising player worth watching—and possibly holding.

HET ZAVERI
info@smartinvestment.in

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