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

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


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

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

The TGP-backed company, which dominates the local online beauty and personal care space with nearly 30% market share, is on an acquisition spree and recently ventured into men’s innerwear and athleisure category with a new brand.

Nykaa in November 2021 made a strong debut in the market, acquiring the first unicorn led by women in the country with a value of almost $14 billion.

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

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

Consolidated net profit for Nykaa-parent FSN E-Commerce Ventures Ltd (FSNE.NS) stood at 45.5 million rupees ($574,582.01) for the quarter ended June 30, compared with 34.2 million rupees last year. year.

Revenue increased 40.6% to 11.48 billion rupees.

($1 = 79.1880 Indian rupees)

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Reporting by Anuran Sadhu in Bengaluru; Editing by Shinjini Ganguli

Our Standards: The Thomson Reuters Trust Principles.



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