Nykaa Shares in Focus After Q1FY26 Net Profit Jumps 79%
Shares of FSN E-Commerce Ventures Limited (Nykaa) were in the spotlight on August 13 after the company reported a sharp 79% year-on-year rise in net profit to ₹24 crore for the first quarter of FY26, led by strong performance in its beauty and fashion segments.
Revenue from operations grew 23% YoY to ₹2,155 crore, marking steady momentum over the past several quarters. EBITDA rose 46% YoY, with the margin improving to 6.5% from 5.5% in Q1FY25. The company said it remains focused on sustainable and profitable growth.
Beauty Segment Growth
Nykaa’s beauty vertical delivered robust numbers, with gross merchandise value (GMV) up 26% YoY to ₹3,208 crore. Growth was supported by strong performance across e-commerce, retail stores, eB2B distribution, and the House of Nykaa portfolio. The company credited deeper market penetration and premiumisation for driving new customer acquisitions and improving average order value (AOV).
The offline retail network remains a key driver, with Nykaa hitting the milestone of 250 beauty stores across 82 cities as of July 2025. Total retail space grew 36% YoY to over 2.5 lakh sq. ft., aided by the rollout of larger-format experiential flagship stores.
Fashion Segment Rebound
Nykaa Fashion posted a strong recovery in Q1FY26, with GMV up 25% YoY to ₹964 crore. The EBITDA margin (as a percentage of net sales value) improved from -9.2% in Q1FY25 to -6.2% in Q1FY26.
The core fashion platform reported higher customer engagement, with visits rising 30% YoY to 165 million, its customer base expanding 32% YoY to 8.5 million, and order volumes up 19% YoY to over 2 million.
Acquisition Update
In a board meeting held on August 12, 2025, Nykaa approved the acquisition of the remaining 40% stake in Nudge Wellness Private Limited from Onesto Labs Private Limited, in line with the terms agreed in April 2022.
