Nykaa Q1 Results: Net profit surges over threefold to ₹80 crore on strong beauty demand

Nykaa's parent, FSN E-Commerce Ventures Ltd., reported a more than three-fold jump in its June quarter profit, driven by strong growth in its beauty business and a sharp acceleration in fashion sales, while improved cost efficiencies boosted its operating performance.

The company posted a 226% year-on-year (YoY) jump in consolidated net profit to ₹80 crore in the April-June quarter, according to its regulatory filing released on Tuesday.

Consolidated revenue from operations rose 29% YoY to ₹2,782 crore during the quarter. At the operating level, EBITDA increased 68% YoY to ₹236 crore, while the EBITDA margin expanded 200 basis points to 8%.

Beauty segment powers growth

The strong quarterly performance was primarily driven by sustained demand for skincare and makeup products. Revenue from the beauty segment rose 27.4% YoY to ₹2,516 crore in the June quarter.

The beauty vertical's gross merchandise value (GMV) grew 28% YoY to ₹4,105 crore, supported by continued momentum across its e-commerce platform, offline retail network, and owned brands under the House of Nykaa portfolio.

Meanwhile, net sales value (NSV) increased 29% YoY, accelerating from the mid-20% growth recorded over the past few quarters.

House of Nykaa continued its strong growth trajectory, achieving an annualised GMV run rate of around ₹3,758 crore, reflecting 39% YoY growth. The portfolio reported NSV of ₹550 crore in the quarter, up 36% YoY, while expanding its customer base to more than 18 million, highlighting strong consumer demand and continued brand adoption.

Fashion business maintains strong momentum

Nykaa's fashion business also delivered a strong performance during the quarter, with GMV rising 53% YoY to ₹1,471 crore, while NSV increased 54% YoY to ₹451 crore.

The segment also reported a meaningful improvement in profitability, with the EBITDA margin (as a percentage of NSV) improving to 0.1% from 6.2% in the year-ago quarter.

According to the company, the growth was supported by strong customer additions, with the cumulative customer base expanding 34% YoY to 12 million. The company also strengthened its brand portfolio and strategic partnerships, including Nike and H&M, which continued to support the segment's growth.

Momentum remained broad-based across both core and emerging categories. Women's fashion grew 40% YoY, while men's fashion surged 83% and kidswear rose 57%.

During the quarter, the company said it added more than 130 new brands, including Birkenstock, Debenhams, and H&M Move, further strengthening its product offerings. Meanwhile, its partnership with Nike continued to gain traction, with the Nike app crossing 1.5 million installs within six months of launch, making it one of the top three brands on Nykaa's platforms.

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