FSN E-Commerce Ventures (NYKAA) Q2 24/25 earnings summary

Executive summary

• Achieved 24% year-on-year GMV and revenue growth in Q2 FY25, with revenue at INR 1,875 crores and gross profit margin improving to 43.8% (up 70 bps YoY).

• EBITDA grew 29% YoY to INR 103.7 crores; PAT rose 66% YoY to INR 13 crores.

• Cumulative customer base reached 37.1 million, up 31% YoY; store network expanded to 210 locations.

• The Board approved the acquisition of an additional 39% stake in Dot & Key Wellness, raising ownership to 90%.

Financial highlights

• GMV for Q2FY25 was Rs. 36,525 mn, up 24% year-over-year; gross profit for the quarter was INR 821 crores, with a 70 bps YoY margin improvement.

• Profit before tax at INR 21.3 crores, up 60% YoY; PAT at INR 13 crores, up 66% YoY.

• Adjusted EBITDA margin (excluding ESOP and GCC expansion) improved to 6.2% from 5.5% YoY.

• Operating cash flow for H1FY25 was negative at Rs. 197 mn, with capex at Rs. 539 mn, focused on tech and retail expansion.

• Earnings per share (EPS) for Q2 FY25 stood at ₹0.04 (basic and diluted), compared to ₹0.02 in Q2 FY24.

Outlook and guidance

• Expectation of better growth in fashion in H2 due to seasonality and festive/wedding season.

• Continued focus on expanding premium offerings, new brand launches, and omnichannel growth.

• Ongoing investments in technology, retail footprint, and customer acquisition to drive future growth.

• The company has reorganized its business segments to focus on Beauty, Fashion, and Others, aligning with internal restructuring and management focus.