Shares of Tata Group retailer Trent Ltd fell 13 percent on Tuesday, marking their biggest one-day decline in a year, after the company's first-quarter business update missed analysts' expectations, triggering concerns over slowing growth despite continued store expansion.

The stock was the top loser on the Nifty 50 index during the day. The decline wiped out about Rs 13,356 crore from the company's market capitalisation.

The stock settled near the day's low at Rs 2,921 per share on the NSE, down 12.64 percent.

The sharp fall came after Trent reported standalone revenue of Rs 5,666 crore for the June quarter, up 19 percent year-on-year, but below market expectations of 22-23 percent.

The company's Q1 business update prompted cautious commentary from brokerages, although it continued to expand its retail network.

Trent expanded its fashion footprint to 1,312 stores, with Zudio increasing to 982 outlets and Westside to 301. However, the rapid pace of expansion led to localised cannibalisation and a 12.2 percent decline in revenue per square foot.

Trent has been expanding its retail network aggressively. The company added 250 stores during FY26, including Westside and Zudio outlets, and opened another 20 stores in the quarter ended June 2026.

The expansion comes at a time when retailers are facing uneven urban demand and rising competition, even as discretionary consumption remains resilient in some segments.