Nykaa Q3 Profit Jumps 51% YoY to ₹26.4 Crore

13 Feb 2025 , 09:08 AM

FSN E-Commerce Ventures, which operates Nykaa, posted a 51.3% year-on-year increase in net profit, ₹26.41 crore for Q3 FY25, against ₹17.45 crore last year. Strong festive season sales, bolstered customer engagement, and increased order volumes drove the growth.

Total expenses increased to ₹2,228.18 crore, compared to ₹1,769.89 crore in Q3 FY24, partly due to increased spending on marketing, logistics and expansion. EBITDA increased 42.5% YoY, coming in at ₹140.8 crore, benefitting from operational efficiencies and robust business performance.

The beauty segment witnessed a 32% year-on-year GMV growth, with sales going up from ₹2,569.6 crore to ₹3,389.9 crore. Revenue from beauty customers reached ₹6,593 crore, 2% more than that of 14% y-o-y, while the total beauty customer base increased to 32 million and cumulative One Nykaa users increased to 40 million, showing a growing consumer base.

The order inflow was 30% YoY, the highest quarterly growth in nine quarters. The fashion segment of Nykaa saw a YoY surge in GMV by 8%, with sales totalled at ₹1,129.9 crore in Q3 FY24 as opposed to ₹1,046.5 crore in Q3 FY24.

Profitability in the fashion industry improved, with cost efficiencies and better inventory management driving results. Nykaa’s flagship Pink Friday Sale saw a year-on-year increase of 36%, with 86 million visits in 10 days with 30 million unique visitors.

It had also opened 12 more stores in Q3 FY25, taking the total store count to 221 stores in India, expanding its offline presence. 70% beauty orders shipped within 24-48 hours in 110+ top cities for both improving customer experience and logistics efficiency. GMV for Nykaa’s B2B Superstore segment grew 52.7% YoY to ₹259.7 crore, up from ₹170 crore in the year-ago period.

Its superstore business has reached a ₹1,000 crore annualized run rate in a little over a year, showing its deep market penetration in the B2B space. Superstore segment contribution margin increased by 509 basis points (bps) YoY as net losses narrowed to -12.1% vs. -17.2% YoY (Q3 FY24). The company is solidifying its beauty and fashion e-commerce market position, and it is playing to its new stores, improved logistics and more customer reach.