Beauty and fashion firm FSN E-commerce, which operates Nykaa, recorded 142% jump in profit after tax (PAT) attributable to shareholders for the third quarter of FY26. PAT came in at Rs 63 crore compared with Rs 26 crore in the year-ago period.
Its net profit for the quarter was up 156% at Rs 68 crore, reflecting a Rs 16 crore impact of revisions made on account of new labour codes. Adjusting for the one-time impact, net profit was Rs 78 crore, the firm said in its earnings disclosures. Net profit beat Bloomberg estimate of Rs 58 crore.
Revenue from operations stood at Rs 2,873 crore, up 26.7% from Rs 2,267 crore in Q3FY25, marginally above Street estimate of Rs 2,869 crore.
Earnings before interest, taxation, depreciation and amortisation (Ebitda) was also ahead of Bloomberg estimate of Rs 196 crore at Rs 230 crore and was up 63.2% on-year. Ebitda margin for the quarter was 8%, up 179 basis points, while PAT margin was up 100 basis points year-on-year at 2.2%.
Consolidated GMV (gross market value) for the quarter as declared by the company stood at Rs 5,795 crore, up 28% from Q3FY26 driven by 27% growth in beauty and personal care (BPC) segment and 31% growth in the fashion segment.
Nykaa’s cumulative customer base grew 31% annually to 52 million at the end of the December quarter, on the back of strong customer acquisition and engagement across platforms, the company said.
“Q3 FY2026 marked a record quarter for Nykaa, with our highest-ever GMV and Ebitda margin, while sustaining our long-term growth trajectory,” said Falguni Nayar, executive chairperson, founder and CEO, Nykaa.
Beauty segment GMV grew to Rs 4,302 crore from Rs 3,390 crore while fashion segment GMV to Rs 1,476 crore compared with Rs 1,130 crore in Q3FY25.
Revenue from BPC segment grew 27% at Rs 2,622 crore and fashion segment revenue grew 18% at Rs 235crore in Q3FY26.
Annual unique transacting customers (AUTC) in beauty grew 26% (18.7 million in Q3FY26 vs. 14.8 million in Q3FY25). The total number of orders in the quarter was up 21% on-year at 18.1 million.
Premiumization via Nykaa Perfumery
During the December quarter, the company added 11 new physical stores to expand its pan-India footprint to 276 stores across 94 cities. The firm added that the physical store network delivered double-digital same stores sales growth in the quarter under consideration.
The firm’s latest store variant Nykaa Perfumery is seeing strong early traction, management said. The stores have recorded three times the average order value as compared to other retail stores, and around 45% of the GMV comes from men’s fragrance sales.
“Fragrance is going to be a big driver of growth. It is also a big part of our retail stores because really the ability to test and smell a fragrance can only be done in physical (stores). We are about to open a fragrance only store called Nykaa Perfumery. So you will start to see some of those stores popping up across several key metros in the coming months,” Anchit Nayar, chief executive, beauty e-commerce at FSN E-commerce, said.
Sportswear and Speed
The firm’s rapid delivery service is present in 7 cities, serviced by 276 rapid stores and has delivered 2 million order till date, with the fastest being fulfilled in seven minutes, the management said.
Beauty GMV across Nykaa’s owned brands (as part of its house of brands strategy) rose 65% year on year at Rs 775 crore, and continued to be led by Dot & Key, Nykaa Cosmetics, and Kay Beauty.
During the quarter, Nykaa Fashion entered a partnership with Nike to manage end-to-end operations for the global sportswear brand’s digital commerce platforms in India across on-site experience, digital marketing, fulfilment, and customer experience.
FSN shares were up 2.95% at Rs 258.25 at the end of day’s trading on Thursday on the Bombay Stock Exchange. The results were announced after market hours.