FSN E-Commerce Ventures Ltd, the parent company of beauty retailer Nykaa, recorded a 3.4x growth in net profit at Rs 34.43 crore in the second quarter of FY26, up from Rs 10.04 crore in the corresponding period last year.
IMAGE: Nykaa Founder Falguni Nayyar. Photograph: Eventfaqs/X
The company’s revenue from operations rose 25.1 per cent year-on-year (Y-o-Y) to Rs 2,345.98 crore in Q2FY26, up from Rs 1,874.74 crore last year.
In the first quarter of this financial year, the revenue stood at Rs 2,154.94 crore.
Notably, the revenue has been seeing a mid-20s growth consistently since the last 12 quarters, the company said.
On a yearly basis, the expenses also increased 23.5 per cent to Rs 2,297.59 crore.
Nykaa’s earnings before interest, taxes, depreciation, and amortisation for the quarter grew 53 per cent Y-o-Y to Rs 159 crore, with margin expanding to 6.8 per cent in Q2FY26 from 5.5 per cent in Q2FY25.
The company’s gross merchandise value (GMV) also increased 30 per cent YoY to Rs 4,744 crore.
The firm’s beauty vertical witnessed its GMV rising 28 per cent Y-o-Y to Rs 3,551 crore on the heels of strong performance across e-commerce, retail stores, and House of Nykaa.
On the other hand, its fashion vertical registered a GMV growth of 37 per cent Y-o-Y to Rs 1,180 crore on account of expansion in brand assortment and robust customer acquisition.
Falguni Nayar, executive chairperson, founder, and chief executive officer of Nykaa, said, “Our performance this quarter reflects accelerated growth momentum across Nykaa, with each of our businesses contributing meaningfully to this trajectory.
“The beauty business continues to deliver consistently, achieving over 25 per cent GMV growth for several consecutive quarters.
“The fashion business delivered 37 per cent Y-o-Y GMV growth, complemented by the introduction of globally trending brands this year such as GAP, Guess, and H&M, reinforcing our differentiated curation and growing appeal in premium fashion.”
Currently, Nykaa has an offline presence of 265 stores (up from 250 stores in the previous quarter) across 90 cities.
The company’s cumulative customer base now stands at 49 million, with beauty customers being around 40 million.
Nykaa Now, the company’s quick commerce arm, which delivers products within 30-120 minutes, has fulfilled over two million orders across seven cities through 53 rapid delivery hubs.
The company said the existing beauty stores are being leveraged for hyperlocal delivery services.
The House of Nykaa has reached an annualised GMV run rate of nearly Rs 2,900 crore, marking a 54 per cent Y-o-Y growth.
In Q2FY26, the platform clocked a GMV of over Rs 720 crore.
The company said Dot & Key is one of the leading skincare brands on the platform, achieving an annualised GMV run rate of Rs 1,500 crore with more than 110 per cent Y-o-Y growth. Nykaa had acquired Dot & Key in FY22.
The company’s business-to-business distribution business, Superstore by Nykaa, currently serves more than 330,000 retailers across 1,100 cities.
In Q2 FY26, it achieved an annualised GMV run rate of over Rs 1,100 crore, up 25 per cent Y-o-Y, driven by an expanded brand portfolio, premiumisation, and deeper penetration into Tier-II and Tier-III markets, the company said in a statement.
