SS Retail Shares Surge After Strong Q1 Earnings and Store Growth

SS Retail shares jumped 19.5 percent on Wednesday, October 14, closing at ₹828.30 after the mobile retailer posted strong results for the quarter ending June 2026. The stock is now up nearly 95 percent from its IPO price of ₹424.

Financial Results

Profit after tax rose 61 percent to ₹23.8 crore, while consolidated revenue grew 59 percent year-on-year to ₹789.7 crore. Earnings before interest, tax, depreciation, and amortisation increased 51 percent to ₹45.4 crore. Gross margin improved by 53 basis points to 12.8 percent, though the EBITDA margin dipped by 31 basis points to 5.8 percent. Same-store sales grew by 34 percent.

Expansion Plans

The company added 33 stores during the quarter, bringing its total to 536 outlets across five states with 2.8 lakh square feet of retail space. Siddharth Shah, founder, chairman and managing director, stated that the company targets 750 stores by fiscal year 2028 and double revenue growth over the fiscal year 2026 base. Its retail network spans Maharashtra, Karnataka, Madhya Pradesh, Goa, and Gujarat under formats like SS Mobile, The Mobile Space, and Mobile Exchange Wala.

Business Models

Store operations use a mix of formats, with company-owned and operated stores generating 20 percent of revenue, company-owned franchise-operated stores contributing 72 percent, and franchise-owned franchise-operated outlets accounting for eight percent. The initial public offering raised ₹500 crore in September, which funds the addition of 115 stores and working capital needs.

Context

Initial public offerings allow private companies to raise capital from the public markets by issuing new shares. Strong quarterly earnings reports frequently drive share prices higher as investor confidence in a company's financial health increases.