Zara Sees India Growth Moderation As FY26 Revenue Slips
Companies

Zara Sees India Growth Moderation As FY26 Revenue Slips

Zara entity recorded revenues of Rs 2,749 crore in the financial year 2026, down from Rs 2,782 crore in FY25

As competition intensified in India’s fast-growing apparel market, the revenue for Zara slipped 1.2 per cent on a year-on-year basis in the financial year 2026. Zara entity recorded revenues of Rs 2,749 crore in FY26, down from Rs 2,782 crore in FY25.

Inditex Trent Retail India, the owner of fashion brand Zara which operates stores in India via a joint venture with Tata Group’s Trent, said that Zara’s store count currently stands at 22 in the country. The net profit of the company stood at Rs 204.14 crore in the financial year ended 31 March 2026, Trent’s annual report mentioned.

“I have long believed that Trent is not intended to be defined by a single brand, but rather by a portfolio of brands. In a diverse and evolving market like India as well as globally, it is unlikely that any one brand can capture a dominant share of the lifestyle space. Instead, our approach has been to create distinct, well-defined propositions that cater to different customer needs and occasions,” Noel Tata, Chairman, Trent, said in the report.

Tata Group retail firm Trent has said that limited availability of quality retail real estate, elevated rental costs and delays in delivery timelines by developers are posing structural challenges to the execution of its expansion strategy.

The operator of Zudio and Westside said that intensifying competition, growing attractiveness of the sector and rapid technological innovation further heighten market complexity. In its annual report, the company added that curating retail spaces, assortments and displays across diverse micro-markets and demographic segments adds executional challenges.

Marking a healthy improvement in its performance, Trent has posted a consolidated net profit of Rs 413 crore in the fourth quarter of the financial year 2026 (Q4FY24), marking an uptick of 33 per cent YoY.

The financial results of the company revealed that the revenue from operations also rose to Rs 5,027.99 crore in Q4FY26. For the full financial year (FY26), the company’s net profit stood at Rs 1,741 crore, an uptick of 13 per cent YoY. The consolidated revenue from operations in FY26 stood at Rs 20,074.21 crore, up 17 per cent.

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