Nykaa Q1 Profit More Than Triples to ₹80 Crore as Revenue Rises 29% and Margins Improve
Key Takeaways
- •FSN E-Commerce Ventures, which operates Nykaa, saw its Q1 FY27 consolidated net profit increase over threefold year-over-year to around ₹80 crore.
- •The company's revenue experienced a 29% annual growth, primarily driven by strong consumer demand in the beauty and personal care categories.
- •Nykaa improved its operational efficiency, resulting in EBITDA rising by 67.8% to ₹236 crore and margins expanding to 8.5%.
- •The firm acquired a majority stake in Aminu Wellness during the quarter to expand its presence in adjacent wellness categories.
Nykaa Q1 Profit More Than Triples to ₹80 Crore as Revenue Rises 29% and Margins Improve
Nykaa, the beauty and fashion e-commerce platform operated by FSN E-Commerce Ventures, reported a strong June quarter (Q1 FY27), with consolidated net profit more than tripling year-on-year to approximately ₹80 crore. Revenue grew 29% year-on-year, driven by robust demand across its core beauty and personal care segments. India's beauty and personal care market is among the fastest-growing globally, with increasing consumer spending on premium and international brands benefiting platforms like Nykaa.
The company's EBITDA rose 67.8% year-on-year to ₹236 crore, up from ₹141 crore in the same period a year earlier. EBITDA margin expanded to 8.5% from 6.5% a year ago, reflecting improved operational efficiency and scale benefits. Margin expansion has been a key focus for Nykaa since its public listing, as its fashion segment has historically operated at lower margins than its beauty business.
Nykaa also strengthened its wellness portfolio during the quarter with the acquisition of a majority stake in Aminu Wellness. This move aligns with the company's broader strategy of expanding into adjacent categories beyond its core beauty and fashion offerings. The company competes with both horizontal marketplaces like Amazon and Flipkart and specialized beauty platforms such as Purplle and Tata Cliq Palette.
Nykaa, founded in 2012 by Falguni Nayar, is one of India's largest online beauty and personal care retailers. The company went public on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) in November 2021.
Source: CNBC-TV18