V2 Retail Limited: Snapshot

Founded in 2001 as Vishal Retail, the company rebranded to V2 Retail Limited in 2011. It is among India’s fastest-growing value-fashion and lifestyle retailers, offering apparel, footwear, household goods, and FMCG at affordable prices.

The company began with its first Delhi store in 2002 and scaled rapidly across India. By 2009, it had over 180 stores, 29 warehouses, and 4.5 million units of annual apparel production capacity. After restructuring in 2011, V2 re-entered retail under its current brand.

From a modest 15 stores in 2014, the chain expanded steadily to 77 stores by 2019, supported by a new manufacturing subsidiary. In the past five years, growth has accelerated:

• 2022: 10 new stores

• 2023: 12 new stores

• 2024: 23 new stores

• FY25: 72+ new stores

Today, V2 operates 189 outlets across India, with a retail footprint of 20.27 lakh sq. ft. Its subsidiaries (VRL Foods, Movers, Consumer Goods, Fashions, Infrastructure, and V2 Smart Manufacturing) support diversification and efficiency.

👉 Essence: V2 Retail has transformed from a single-store operation into a pan-India value retailer, combining affordability, scale, and tier-II/III city penetration to fuel rapid growth.

As of recent updates, the stock has shown strong momentum in the past year, reflecting investor optimism around revenue growth. Short-term volatility remains high due to earnings surprises and broader retail sector sentiment. (Investors should confirm current trading price and technical levels before entry.)

Total Returns

Over the last three years, V2Retail has delivered multi-bagger returns, driven by rapid revenue growth and expanding store footprint. Compared with peers, the company has outperformed in percentage terms, although Trent continues to deliver steadier compounding on a larger base.

News & Action

• Q1 FY26: Revenue grew 51% YoY to ₹628 crore; strong same-store sales growth reported.

• FY25 Results: Revenue ₹1,884.5 crore (+62% YoY), PAT ₹72 crore (+159% YoY).

• Corporate actions: Aggressive store openings, investment in V2 Smart Manufacturing.

Detailed Financials

• FY25 Revenue: ₹1,884.5 crore

• FY25 PAT: ₹72 crore

• 3-Year CAGR: ~44% (FY22 → FY25)

• Q1 FY26 Revenue: ₹628 crore

• Gross Margin: ~31.8%

• EBIT Margin: ~8.5%

Peer Comparison

Technical

• 52-Week Range: Investors should monitor latest support/resistance levels (e.g., 200-DMA, RSI trend).

• Momentum Indicators: Strong uptrend in 2024–25, though volatility is high.

Major Parameters

• Growth: 🔼 Very strong (44% CAGR).

• Margins: ➡️ Moderate (Gross ~31.8%).

• Leverage: 🔽 Needs monitoring.

• Execution: 🔼 Aggressive store roll-out, but execution risk exists.

News

• Rapid Store Additions: FY24–25 saw accelerated store roll-outs across Tier-2 and Tier-3 markets.

• Manufacturing Integration: V2 Smart Manufacturing ensures cost control.

• Festive Season Sales: Strong festival performance boosts quarterly volatility.

Key Factors

• Store expansion into underpenetrated regions.

• Private labels + vertical integration for margin stability.

• High debt and working capital needs.

• Competition from Trent’s Zudio and V-Mart.

Shareholding

• Promoter Holding: Stable majority stake.

• FII/DII: Gradually increasing interest.

• Public: Large participation due to small-cap profile

Financials (Snapshot FY25)

• Revenue: ₹1,884.5 crore

• PAT: ₹72 crore

• Gross Margin: 31.8%

• EBIT Margin: 8.5%

• 3-year Revenue CAGR: ~44%

Conclusion

V2 Retail has evolved from a single-store format in Delhi to a pan-India value retail chain with 189 outlets and over 20 lakh sq. ft. of retail space. Its strategy of offering affordable family fashion and essentials has made it a strong contender in India’s competitive retail landscape, especially in tier-II and tier-III markets where demand for budget fashion is growing rapidly.

Backed by its subsidiaries in food, consumer goods, logistics, and manufacturing, V2 Retail has built a vertically integrated model that allows it to control costs, optimize supply chains, and pass value to customers. The company’s aggressive store expansion in FY25—adding more than 72 outlets in a single year—demonstrates its focus on scaling up and capturing market share.

Looking ahead, V2 Retail’s growth trajectory positions it well to benefit from rising disposable incomes, shifting consumption patterns, and urbanization beyond metros. However, sustaining margins while expanding aggressively will be key. For investors, V2 Retail presents a story of high growth potential in India’s value-fashion segment, balanced with the need to closely track execution risks and competitive pressures.