Nykaa Parent Company Reports Stellar Quarterly Performance
FSN E-Commerce Ventures, the parent entity of popular beauty and fashion retailer Nykaa, delivered an outstanding financial performance for the September quarter, showcasing remarkable growth across key metrics. The company witnessed a spectacular 243% surge in consolidated net profit, reaching Rs 34.4 crore compared to Rs 10.04 crore in the same period last year.
The impressive results were driven by strong consumer demand and strategic expansion initiatives. Revenue from operations saw substantial growth, increasing by 25.1% year-on-year to Rs 2,345.98 crore from Rs 1,874.74 crore in the corresponding quarter of the previous fiscal year.
Beauty Business Leads Growth Momentum
Nykaa's core beauty business continued to demonstrate consistent performance, maintaining its position as the growth engine for the company. Founder and CEO Falguni Nayar highlighted that the beauty business has achieved over 25% GMV growth for several consecutive quarters, underscoring the segment's resilience and market leadership.
The quarter was particularly notable for accelerated brand launches, with significant focus on Luxury and Korean Beauty segments. The company also strengthened its physical retail presence by adding 19 new stores, further enhancing its omnichannel strategy and making premium beauty products more accessible to consumers across India.
Owned Brands and Fashion Segment Show Strong Performance
Nykaa's owned brand portfolio, marketed as House of Nykaa, recorded exceptional growth with 54% year-on-year GMV increase. This impressive performance was driven by sustained consumer interest in the company's proprietary beauty brands, which have successfully resonated with the Indian consumer base.
The fashion business also contributed significantly to the overall growth story, posting 37% year-on-year GMV growth. Nykaa Fashion strengthened its market position by introducing globally recognized brands including GAP, Guess, and H&M to its platform. This strategic brand addition reinforced Nykaa's differentiated curation approach and growing appeal in the premium fashion segment.
The company's customer acquisition efforts yielded impressive results, with the cumulative customer base now standing at 49 million across beauty and fashion verticals. This substantial customer growth indicates strong brand recall and market penetration.
Financial Metrics and Operational Highlights
Nykaa's operational efficiency showed significant improvement with EBITDA rising 53% year-on-year to Rs 159 crore. However, the company also saw an increase in total expenses, which grew by 23.5% to Rs 2,297.5 crore, reflecting the costs associated with expansion and growth initiatives.
The company's gross merchandise value (GMV), a key metric for e-commerce platforms, showed robust growth of 30% to reach Rs 4,744 crore during the quarter. This indicates strong consumer engagement and transaction volume across platforms.
Nykaa's quick commerce initiative, Nykaa Nowover 2 million orders across seven cities. This service enhancement addresses the growing consumer demand for faster delivery options in the beauty and personal care segment.
The company's physical retail expansion continued with the addition of 19 stores during the quarter, taking the total store count to 265 stores across 90 cities in India. This extensive retail network supports Nykaa's omnichannel strategy and provides consumers with multiple touchpoints for engagement.
In a significant corporate development, the company announced the reappointment of Falguni Nayar as Executive Chairperson, Managing Director and CEO for a five-year term starting February 2026. This decision ensures leadership continuity and strategic consistency for the company's future growth trajectory.
Investors responded positively to the strong quarterly results, with Nykaa shares closing 0.22% higher at Rs 246 apiece on the BSE on Friday. The company's performance reflects the growing Indian beauty and personal care market and Nykaa's dominant position within this expanding sector.
