FSN E-Commerce Ventures, the parent company of online beauty e-commerce platform Nykaa on Friday reported a 49% year-on-year decline in its consolidated net profit at Rs 8.56 crore in Q4FY21, hurt by a surge in expenses.
The company’s revenue from operations during the period increased over 31% to Rs 973.32 crore. Total expenses during the quarter rose 35% to Rs 978.64 crore.
“The year has witnessed a challenging macroeconomic environment, pronounced for discretionary categories like beauty, personal care and fashion. Despite market slowdown, our unique growth story continues, showing the resilience of our business model and long-term sustainability by balancing strong revenue growth, responsible unit economics and profitability,” said Falguni Nayar, chief executive officer and managing director, Nykaa, adding, “We acquired over 6 million new customers across beauty and fashion, and witnessed superior customer retention with improved metrics across the funnel, from visits to conversions”.
On Friday, the company’s shares closed down 0.93% at Rs 1,351.80 on the Bombay Stock Exchange. The results were declared post-trading hours.