Nykaa said that its Ebitda for the quarter rose 60% year over year to Rs 73.50 crore, and its Ebitda profit was 5.2%, which was up 116 basis points from 4% in the same quarter last year.
FSN E-Commerce Ventures Ltd (Nykaa) said in a BSE filing that its net profit for the June quarter went up by 8% from the same time last year to Rs 5.40 crore. The company’s sales also went up by 24% from the same time last year to Rs 1,421.80 crore. Nykaa said that the earnings number was based on her share of an associate’s loss.
Ebitda for the quarter jumped 60% year-over-year to Rs 73.50 crore, and the Ebitda profit was 5.2%, up 116 basis points from 4% in the same quarter last year.
The cost of depreciation and rent went up from one year to the next because more capital expenditures were made in FY23 in retail shops, warehouses, and offices. Interest financing went up from one year to the next because more money was borrowed from banks to pay for working capital. Nykaa said that the use of IPO money cut into other income.
Gross merchandise value (GMV) for the quarter rose 24% year over year to Rs 2,667.80 crore. The contributing margin went up from 20.2% to 20.7% year over year.
Falguni Nayar, the company’s Executive Chairperson, MD, and CEO, said, “Our beauty vertical continues to grow into its own ecosystem, with steady and balanced growth across our online channels, real presence, and consumer brands.” Consumer names in fashion also grew steadily, and our own lines now include Western wear, Indian wear, lingerie, menswear, accessories, and much more. The growth of Nykaa Fashion in the quarter was much higher than the growth of the industry as a whole, but it was lower than its long-term trend.
“Nykaa’s philosophy is to grow businesses and brands with love and discipline. This is again clear in how quickly Superstore By Nykaa and our beauty brand Dot & Key have grown, all while improving their unit economics. Dot & Key has reached an annualised GMV run rate of 300 crores, which means it has grown five times in two years and is now making money. “This shows that the Nykaa plan is a good model for building value,” he said.
In terms of segments, the BPC GMV grew by 24%, with strong growth in ecommerce, real retail, and consumer names.
As of June 30, 2023, there were 152 shops, which is 43% more than the year before. The gross merchandise value (GMV) of Nykaa’s own names grew by almost 40% year over year.
The number of people who did business with BPC in Q1 grew to 10.3 million, up from 6.5 million just two years ago. This is a growth of 58%. At the same time, 80% of this quarter’s GMV came from users who had already bought from the company.
“The fact that the number of current customers keeps growing, even as the total number of customers grows, is a sign of very healthy and sustainable customer gains and a sign of good shopping and post-order experiences. Nykaa said that the number of new customers who bought something at a real store increased by about 40% over the previous year.
The total fashion GMV grew by 12% in the first quarter, which is slower than the long-term trend. Given that the fashion business doesn’t look good for this quarter in particular, the growth was better than the short-term trend. But since the end of the quarter, business has been going well. Nykaa said that July saw a good year-over-year growth, which was helped by the success of the main “Hot Pink Sale.”
In Q1, the number of new users who made a purchase grew by 160 percent, from 1 million two years ago to 2.6 million. Even though the number of customers has grown quickly in the past two years, the average order value for the platform is now more than INR 4,400 for Q1 FY24. This is up from INR 4,000 two years ago. The sales of Nykaa’s 13 fashion-owned brands grew by 30%, and they now make up 14% of the Fashion GMV.