New Delhi, Dec. 27 -- Indian retail giant DMart is prioritising long-term growth through a massive store expansion strategy that is expected to delay its ability to generate significant cash in the short term, according to the CLSA India Weekender - ALL THINGS INDIA report.

The report noted that DMart is in a phase of aggressive growth, with plans to add 15-20 per cent annually. This strategy is common for large retailers during their early years of expansion. "Historically, free cash flow in the early years of expansion is negative due to rapid store additions," the research stated.

Management for the retailer currently has visibility for 2,200 stores. Given the high volume of upcoming projects, the company's near-term free cash flow i...