Nykaa's beauty vertical registers robust growth in Q4 FY25
Nykaa attributed the growth in the beauty segment to the investment in customer acquisition', 'strong retail performance', and 'success of both home-grown, as well as acquired brands under the 'House of Nykaa''.
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FSN E-Commerce, the parent firm of beauty and fashion platform Nykaa has witnessed a continued growth in the fourth quarter of fiscal year 2025. However, the consolidated net revenue growth of the company is expected to be low to mid-twenties Year-on-Year.
In a stock exchange filing, the company said that the Gross Merchandise Value (GMV) for Beauty vertical is expected to remain significantly ahead of the industry. Nykaa attributed the growth in the beauty segment to the 'investment in customer acquisition', 'strong retail performance', and 'success of both home-grown, as well as acquired brands under the 'House of Nykaa''.
Nykaa opened 19 new stores in the fourth quarter of the current fiscal year.
In contrast, the fashion vertical of Nykaa is expected to see GMV growth in the high teens with sequential improvement in the core platform business. "The Net Revenue growth is expected to be lower due to the muted performance of Nykaa Fashion-owned brands and lower content-related activity in Q4 FY2025, which typically peaks in the third quarter," the company said in a stock exchange filing.
Despite, registering robust growth in Q4, shares of FSN E-Commerce were down 2.59%, trading at Rs 172.12 apiece at 10:30 am.
In Q3 FY25 (October-December), Nykaa's beauty segment witnessed a 32% GMV rise at Rs 3389 crore year-on-year. The revenue also saw a surge of 27% to Rs 2060 crore in Q3 FY25.
On the other hand, the GMV of Fashion vertical stood at Rs 11,299 million, up 8% YoY. The revenue of Fashion segment also saw a two-fold rise in three years from Rs 133.9 crore in FY 23 to Rs 199 crore in FY25.
