FSN E-Commerce Ventures (NYKAA) Q3 25/26 earnings summary

Executive summary

• Q3 FY2026 delivered 28% year-on-year GMV growth to INR 5,795 crore and net revenue up 27% to INR 2,873 crore, maintaining a 13-quarter streak of strong expansion.

• EBITDA reached INR 230 crore (8% of net revenue), up 63% year-on-year, marking the highest margin to date.

• PAT was INR 68 crore (2.4% of net revenue), up 156% year-on-year; adjusted for a one-time labor code impact, PAT would be INR 78 crore (2.7%).

• Beauty and Fashion segments delivered market-leading growth, with robust customer additions and strong festive sales.

• Total comprehensive income for the quarter was INR 68.22 crore, up from INR 26.28 crore year-over-year.

Financial highlights

• Gross profit rose 31% year-on-year to INR 1,297 crore, with gross margin at 45.2% of net revenue.

• EBITDA margin improved by 180 basis points to 8%; gross margin expanded by 144 basis points year-on-year.

• Working capital days improved to 30 for the nine months, and ROCE increased to 19.1% annualized.

• Revenue from operations for the nine months ended December 31, 2025, was INR 7,374.18 crore, up from INR 5,888.06 crore year-over-year.

• One-time provision of INR 16 crore for new labor code impact.

Outlook and guidance

• Management remains optimistic about continued growth, citing strong e-commerce momentum, digital marketing efficiencies, and omnichannel expansion.

• The group continues to monitor regulatory changes, especially regarding new Labour Codes, and will recognize further accounting effects as clarifications are issued.

• No explicit forward guidance provided, but structural improvements in margins and profitability expected to sustain.