Indian beauty firm Nykaa’s profit jumps on strong fashion demand

People walk past a store of Nykaa, an Indian beauty retailer, at a shopping mall in New Delhi, India July 11, 2022. REUTERS/Anushree Fadnavis/File Photo

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BENGALURU, Aug 5 (Reuters) – The parent company of Indian cosmetics and fashion retailer Nykaa reported a 33.2% rise in first-quarter net profit on Friday, boosted by strong demand for its fashion products.

The TGP-backed company, which dominates the national online beauty and personal care space with nearly 30% market share, has been on a flurry of acquisitions and recently ventured into the apparel category. interior and men’s leisure with a new brand.

Nykaa in November 2021 made its market debut, picking up the country’s first female-led unicorn with a valuation of nearly $14 billion.

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The company said its gross merchandise value (GMV) jumped 47% to 21.56 billion rupees in the quarter. The GMV of its fashion business jumped 59%, while that of the beauty and personal care business increased 39%.

“Consumer demand for beauty, personal care and wellness is also showing early signs of recovery and we are gearing up for a promising festive season this year,” said Nykaa CEO and Managing Director Falguni Nayar.

The consolidated net profit of FSN E-Commerce Ventures Ltd (FSNE.NS), parent company of Nykaa, was 45.5 million rupees ($574,582.01) for the quarter ended June 30, compared to 34 .2 million rupees a year earlier.

Revenue rose by 40.6% to 11.48 billion rupees.

($1 = 79.1880 Indian rupees)

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Reporting by Anuran Sadhu in Bangalore; Editing by Shinjini Ganguli

Our standards: The Thomson Reuters Trust Principles.

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