Beauty Segment Leads Growth Momentum
FSN E-Commerce Ventures, the parent company of Nykaa, expects strong Q4 FY25 results, powered by solid growth in its beauty business. The company projects consolidated net revenue growth in the low to mid-20% range year-on-year.
Nykaa’s full-year FY25 revenue is also expected to grow in the mid-20s, showing consistent performance across all four quarters.
The gross merchandise value (GMV) for its beauty vertical is projected to grow in the low 30% range, outperforming industry benchmarks.
Key Growth Drivers
Nykaa attributes its strong performance to several strategic moves:
-
Investment in customer acquisition
-
Expansion of its offline retail network
-
Rising success of its in-house brands under the “House of Nykaa”
-
Launch of 19 new stores during the quarter
In Q3 FY25, Nykaa’s beauty GMV surged 49% YoY to Rs 468.6 Cr, supported by acquisitions of Earth Rhythm and Dot & Key. These brands strengthened its product portfolio and boosted online traction.
Fashion Vertical Sees Slower Pace
Nykaa’s fashion segment posted high teen GMV growth in Q4, but net revenue growth was lower. The company cited weak content activity and a subdued market response.
Though the segment was loss-making in Q3, Nykaa trimmed losses by 12.3% YoY to Rs 25.41 Cr.
Strong Financials in Q3
-
Net profit jumped 51% YoY to Rs 26.4 Cr (from Rs 17.5 Cr)
-
Operating revenue rose 26.74% to Rs 2,267.2 Cr (from Rs 1,788.8 Cr)
International Expansion Begins
In January, Nykaa launched a new subsidiary—Nykaa Cosmetics SPC—in Oman. It invested OMR 30,000 (approx. Rs 6 Lakh) through its arm, Nessa International, which holds full ownership.
Is Nykaa positioning itself for international dominance? With consistent growth, brand acquisitions, and retail expansion, all signs point to a confident next chapter.