Nykaa’s Net Profit Rises 66% YoY In Q2FY25

Marking a healthy improvement in its financial performance, FSN Ecommerce Ventures, the parent company of the beauty and fashion brand Nykaa, has reported a 66 per cent increase in its net profit on a year-on-year (YoY) basis in the second quarter of the current fiscal (Q2FY25). As per the company’s unaudited consolidated financial results, its net profit increased to Rs 12.97 crore in Q2FY25, as compared to Rs 7.80 crore in Q2FY25.

The company’s revenue from operation increased from Rs1,507.02 crore inQ2FY24 to Rs 1,874.74 crore in the recently concluded quarter, witnessing a 24 per cent on-year growth. The profit before tax stood at Rs 21.3 crore, marking a 60 per cent growth on a YoY basis, as per the results.

The total expenses of the company increased from Rs 1,502.33 crore in Q2FY24 to Rs 1,858.93 crore in the quarter ended 30 September 2024. On the other hand, the total income marked a per cent increase as it rose to Rs 1,880.19 crore in Q2FY25 from Rs 1,515.59 crore in the corresponding quarter of the previous financial year.

The earnings before interest, tax, depreciation and amortisation (EBITDA) of the company grew 29 per cent on a YoY basis to Rs 103.7 crore in the quarter and the EBITDA margin was 5.5 per cent, an uptick of 18 basis points YoY. The firm’s beauty vertical recorded a 29 per cent YoY GMV growth, reaching Rs 2,783 crore in Q2FY25, driven by new customer acquisition growth of 31 per cent YoY. Nykaa Fashion witnessed a healthy revenue growth of 22 per cent YoY.

The company now operates India’s largest beauty retail network of 210 physical stores spanning 72 cities. There was around 25 per cent YoY growth in retail space, including two new flagship stores in Mumbai and Delhi. Nykaa's beauty-owned brands reported 48 per cent YoY GMV growth in Q2 FY2025, reaching Rs 3,602 million.