Trent reaffirms commitment to achieving 25% growth annually

20 June, Mumbai 2025

Tata Group-backed retail powerhouse, Trent has reaffirmed its commitment to a long-term target of 25 per cent annual growth. The company's strategy is primarily centered on its highly successful value fashion format, Zudio, alongside aggressive store openings in micro-markets and expansion into new product categories.

According to reports from multiple brokerages, Trent is focused on operating in categories with frequent consumer purchases, rather than chasing traditional metrics like like-for-like (LFL) sales growth, overall store count, or total addressable market (TAM). Analysts at Nuvama Institutional Equities highlight, Trent operates under a distinct set of constraints compared to its competitors, emphasizing its commitment to no discounting, maximizing full-price sales, avoiding advertising, and exclusively using private labels.

In FY24-25, Trent’s revenues rose by 38.4 per cent Y-o-Y to Rs 17,134.6 crore with profit rising by 3.85 per cent to Rs 1,534.41 crore.

As of March 31, 2025, Trent operates 1,091 stores across India. This growth is spearheaded with the addition of 244 new outlets by Zudio, bringing its total presence to 765 stores across 235 cities. This includes Zudio's first two overseas stores launched in FY25. Launched in 2016, Zudio recently registers sales worth over 1 billion. Zudio has the potential to match Westside's profitability profile medium-term, benefiting from improved unit economics and scale, opine analysts at Nuvama. Trent's lifestyle and apparel brand, Westside concluded the year with 248 stores.

Encompassing brands like Zudio and Westside, Trent's apparel division contributes approximately 80 per cent of the company's total revenue, and the company targets significant continued growth in this segment.

India's overall retail market is projected to rise to $2 trillion within the next decade from $820 billion in 2023. Despite a six-fold revenue jump from FY19-25, Trent's share in India's fashion and lifestyle retail remains in the low single-digits. However, the company sees a ‘long runway for growth, aiming for 25 per cent annual expansion through a multi-brand, cluster-based strategy to increase market share in key micro-markets. This includes ramping up new categories like Zudio Beauty and the recently launched ‘Pome’ brand of lab-grown diamonds.

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