V2 Retail reaches 427 stores after 106 H1 FY27 openings

V2 Retail Limited ended H1 FY27 on September 30, 2026 with 427 stores spanning about 46.3 lakh sq ft after opening 106 stores and closing four, while consolidated revenue rose 42% year on year to Rs 1,902.8 crore.

How many stores did V2 Retail have at the end of H1 FY27?

V2 Retail had 427 operating stores as of September 30, 2026, covering about 46.3 lakh sq ft across 26 states and one Union Territory. The company reported the same closing network and retail-area figures in its results overview and its H1 FY27 operational update.

V2 Retail said its presence is concentrated in Northern and Eastern India, where it targets the neo-middle-class population in Tier II and Tier III cities with apparel and lifestyle products. The release does not provide state-level store counts, store-format data, average store size or a comparison of retail area with the prior year.

The H1 FY27 update says V2 Retail opened 106 stores and closed four stores during the six months ended September 30, 2026. That equates to 102 more openings than closures, although the company did not disclose its store count at the start of H1 FY27 or explain whether any closures involved relocations or store replacements.

How fast did V2 Retail expand its network in H1 FY27?

V2 Retail's H1 FY27 update reports 106 store openings and four closures, while a separate Q2 FY27 update in the same release reports 49 openings and three closures described as occurring in H1 FY27. The company did not reconcile the two sets of figures.

The dedicated H1 FY27 section provides the 106-opening and four-closure figures, whereas the Q2 FY27 section gives the lower 49-opening and three-closure numbers. Both sections report 427 stores and about 46.3 lakh sq ft as of September 30, 2026, but the filing does not identify the months covered by the 49-store figure.

Management said that additions during the quarter were guided by location selection, store economics, capital allocation and return metrics. V2 Retail also cited analytics-driven merchandising, supply-chain capabilities and operating execution as tools supporting scalability, but it gave no numerical opening target, capital-expenditure amount or timetable for the remainder of FY27.

What did V2 Retail report alongside network expansion?

V2 Retail reported consolidated revenue from operations of Rs 1,902.8 crore in H1 FY27, up 42% from Rs 1,340.9 crore in H1 FY26. The company also reported volume growth of 43% and said full-price sales accounted for 91% of H1 FY27 sales.

Gross profit rose 47% to Rs 566.4 crore, faster than the 42% increase in revenue, and earnings before interest, taxes, depreciation and amortisation, or EBITDA, increased 50% to Rs 259.7 crore. Gross margin rose by 110 basis points to 29.8%, while EBITDA margin increased by 70 basis points to 13.6%.

V2 Retail reported same-store sales growth, or SSSG, of negative 3.7% in H1 FY27. The company attributed the decline mainly to the festive season moving from Q2 to Q3 compared with the previous year, creating a contrast between negative reported SSSG and the 42% revenue increase during the half year.

What operating effects did V2 Retail link to expansion?

V2 Retail said depreciation and amortisation charges associated with store expansion in recent years affected Q2 FY27 profit after tax, or PAT. Q2 PAT increased 6% to Rs 18.2 crore from Rs 17.2 crore even as EBITDA rose 41% to Rs 120.3 crore and EBITDA margin increased to 13.3% from 12.1%.

The release contains a separate inconsistency in H1 FY27 PAT. Its consolidated financial table reports PAT of Rs 60.1 crore, compared with Rs 41.9 crore in H1 FY26, while the H1 performance narrative reports Rs 60.9 crore for the same period and describes year-on-year growth of 43%.

V2 Retail linked its Q2 FY27 gross-margin improvement to lower off-season discounting and a healthier sales mix. Q2 gross margin rose to 31.1% from 28.0% a year earlier, while volume grew 31% and full-price sales made up 91% of sales despite the festive-demand shift.

The company did not quantify the depreciation and amortisation expense or disclose store-level profitability in the release. It said its store-expansion investments are expected to support future revenue growth and market presence, which is management's stated expectation rather than a numerical forecast.

What does V2 Retail expect after the festive shift?

V2 Retail expects deferred festive demand to support Q3 FY27 and expects the calendar-related impact on SSSG to normalise in the coming quarter. In Q2 FY27, it reported SSSG of about negative 14.9%, while stating that normalised SSSG was positive 0.5%.

Management attributed the gap between reported and normalised Q2 SSSG to festive demand moving into Q3 rather than occurring in Q2 as it had in the prior year. The company reported Q2 revenue growth of 28% to Rs 905.6 crore despite that timing effect.

V2 Retail said it would continue to strengthen its product proposition, maintain its price-value equation, expand its network judiciously and pursue operating efficiencies. The filing sets out these priorities but does not disclose a FY27 revenue forecast, SSSG target, store-opening target or a scheduled date for further operational guidance.

Conclusion

V2 Retail's first-half results pair rapid network activity with higher consolidated sales, volumes and margins. The reported 43% volume increase and 91% full-price sales contribution accompanied a 110-basis-point rise in gross margin, even as reported H1 SSSG was negative 3.7% because of the festive-calendar change.

The next disclosed test is Q3 FY27, when management expects the deferred festive demand and the timing effect on SSSG to normalise. Readers should also watch for any clarification of the filing's differing H1 store-opening disclosures of 49 and 106, and its H1 PAT figures of Rs 60.1 crore and Rs 60.9 crore.