Honasa Consumer (HONASA) Q3 25/26 earnings summary

Executive summary

• Achieved highest-ever quarterly revenue in Q3FY26, with 21.7% year-over-year growth, led by strong volume and market share gains in core and young brands, and supported by robust performance across all channels.

• EBITDA and PAT reached record highs, with sequential improvement in margins and profitability, and continued investment in product innovation, brand building, and community initiatives.

• Strategic acquisition of Reginald Men to capitalize on the growing men's skincare segment and strengthen presence in South India.

• Unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025, were approved and reviewed by the Board and Audit Committee on February 12, 2026.

• The company operates primarily in the beauty and personal care segment, with no additional segment disclosures as per Ind AS 108.

Financial highlights

• Q3FY26 consolidated revenue from operations was Rs 6,015.41 million, up from Rs 5,175.10 million in Q3 FY25; standalone revenue was Rs 5,874.42 million, up from Rs 5,048.47 million.

• EBITDA margin at 10.9%, with EBITDA of INR 66 crore, both at all-time highs.

• PAT nearly doubled year-over-year, with Q3FY26 consolidated PAT at Rs 502.00 million, up from Rs 260.24 million.

• Working capital cycle remains negative, supporting cash flow.

• Revenue recognition change due to Flipkart Group impacted reported revenue by INR 28 crore, but did not affect bottom line.

Outlook and guidance

• Confident in sustaining double-digit growth in core brands and 25%+ growth in young brands over coming quarters.

• Margin profile expected to improve by 100 basis points annually for the next two years.

• Focus categories projected to reach 85%-87% of total business within three years.

• Continued prioritization of scaling new brands, deepening distribution, and maintaining profitability.

• The company continues to monitor the impact of new Labour Codes and will assess future effects on employee benefit liabilities.