FSN E-Commerce Ventures Ltd, which owns online beauty and cosmetics retailer Nykaa, on Wednesday reported a decline in consolidated net profit of Rs 29 crore for the December quarter.
This is a fall of 58% from Rs 69 crore a year ago, hit by a jump in expenses and subdued demand for personal care and fashion products.
Gross merchandise value (GMV) of beauty and personal care grew 29% quarter-on-quarter (QoQ) and 32% year-on-year (YoY), while fashion GMV grew 17% and 137%, respectively.
Fashion, while still an early-stage business in the Nykaa ecosystem, now contributes to 26% of the consolidated GMV year to date, the TPG Growth-backed Indian fashion e-commerce platform said.
Led by Falguni Nayar, Nykaa reported a rise in revenue from operations by 36% at Rs 1,098 crore as against Rs 808 crore in the year ago quarter.
Ahead of its public listing last year, Nykaa had reported a 96% fall in its September quarter consolidated net profit.
Sequentially, both profit and revenue numbers saw an improvement on the back of higher gross profit margin.
Profit rose 24% compared to the September 2021 quarter and revenue increased by 24%.
Besides TPG Growth, Nykaa’s other investors include Lighthouse India, Steadview Capital and Kravis Investment Partners.