Nykaa Shares Down 3% Ahead Of Q3 Results

Shares of beauty and fashion major Nykaa fell 3.5% to INR 167.45 apiece on the BSE during intraday trading session today (February 10), ahead of its third quarter results.

As of 02:43 PM, the stock was last down 2.7% at INR 168.75 per share on the BSE, compared to its previous close of INR 173.50 apiece, as of Friday (February 7).

The company’s market capitalisation currently stands at INR 48,260.94 Cr ($5.49 Bn).

Nykaa’s shares are set for the fifth straight session ending in red, if current loss holds.

In the past quarter, the company’s consolidated net profit surged 66.3% to INR 12.97 Cr in Q2 FY25 from INR 7.8 Cr in the year-ago period, while its revenue from operations jumped 24.4% to INR 1,874.74 Cr during the quarter under review from INR 1,746.11 Cr in Q2 FY24.

Despite strong results reported in the second quarter, shares of the company did not change course from its downward trend.

Meanwhile, the company forecast a strong performance in Q3 FY2025 with consolidated net revenue growth likely to be higher than mid-twenties.

While GMV growth in Nykaa’s beauty business was anticipated to be around 30%, the expected net revenue growth of its fashion vertical was projected to be around 20%.

It is to note that earlier this year, the beauty ecommerce giant’s parent FSN E-Commerce Ventures incorporated a new wholly-owned subsidiary, Nysaa Cosmetics SPC, in Oman.

Prior to this, Nykaa also incorporated a wholly-owned subsidiary in Saudi Arabia — Nysaa Trading LLC, while its step-down subsidiary Nessa International Holdings has incorporated a wholly-owned subsidiary in Qatar – Nysaa Cosmetics Trading, in the past year as part of its broader plan to expand its market beyond domestic borders.

The online fashion and cosmetics retailer also saw the exit of chief executive Nihir Parikh on account of personal commitments, in December 2024.

However, in the past 12 months, the stock has gained 15.4%, as of its last close.

Updated at 03:50 PM