New Delhi, April 30 (IANS) Shares of Trent Limited gained more than 3 per cent on Tuesday after reporting strong Q4 numbers.

Trent shares were trading at Rs 4494, up by 3.2 per cent.

Trent reported strong standalone revenue growth of 53 per cent (in line) in 4QFY24. “Trent’s strong performance and robust footprint additions is an outlier in our retail coverage universe, which is facing a challenging demand environment,” Motilal Oswal Financial Services said.

Unlike peers that passed on the sharp raw material price increases last fiscal, Trent absorbed the impact, seeing strong customer reception and is now reaping the benefits as raw material prices turn benign.

Trent’s industry-leading revenue growth, driven by healthy SSSG and productivity, robust footprint additions, and healthy scale-up in Zudio, offers a huge runway for growth over the next three to five years, Motilal Oswal Financial Services said.

Considering strong revenue growth, aggressive store additions, margin tailwinds from moderating raw material costs, and operating leverage, the brokerage estimates a CAGR of 32 per cent/38 per cent in revenue/PAT over FY24-26. The continued momentum in Star and improving store metrics offer further upside potential.

Trent Limited is part of the Tata Group and operates a portfolio of retail concepts. The primary customer propositions of Trent include Westside, one of India’s leading chains of fashion retail stores, Zudio, a one-stop destination for great fashion at great value and Trent Hypermarket, which operates in the competitive food, grocery and daily needs segment under the Star banner.