FSN E-Commerce Ventures Limited — the parent company of Nykaa — reported a 313% year-on-year surge in consolidated net profit for the quarter ended March 31, 2026, with PAT jumping to ₹78.75 crore from ₹19.05 crore in Q4 FY25. Revenue from operations grew 28.4% year-on-year to ₹2,648.17 crore from ₹2,061.76 crore — a strong quarter that accelerated margin expansion and delivered Nykaa’s best Q4 profitability in its listed history.
Q4 FY26 key numbers
Total income for the quarter was ₹2,657.32 crore against ₹2,070.71 crore in Q4 FY25. EBITDA came in at approximately ₹222 crore against ₹133 crore in Q4 FY25 — a 66.9% year-on-year improvement — with EBITDA margin expanding 193 basis points to 8.40% from 6.47%. Profit before exceptional items and tax was ₹121.52 crore against ₹39.55 crore in Q4 FY25 — a 207% improvement. There were no exceptional items in Q4 FY26. Total tax expense was ₹42.77 crore — including a deferred tax credit of ₹28.15 crore — producing the ₹78.75 crore net profit.
Key cost lines for Q4: purchase of traded goods ₹1,572.83 crore — the dominant expense at 59.4% of revenue — employee benefits ₹203.84 crore, depreciation ₹84.22 crore, finance costs ₹26.33 crore, and other expenses ₹776.53 crore. The inventory movement of negative ₹136.68 crore — a build-up of finished goods — indicates strong forward ordering ahead of the summer season.
Full year FY26: The milestone that matters
For the full financial year ended March 31, 2026, Nykaa crossed ₹10,000 crore in annual revenue for the first time — consolidated revenue from operations reaching ₹10,022.35 crore against ₹7,949.82 crore in FY25, a 26.1% year-on-year growth. Total income was ₹10,055.12 crore against ₹7,977.08 crore.
Full-year net profit was ₹203.94 crore against ₹72.07 crore in FY25 — a 183% year-on-year jump — as Nykaa’s investment cycle began translating into meaningful profitability at scale. Full-year profit before exceptional items and tax was ₹347.63 crore against ₹127.45 crore in FY25 — a 173% improvement. The full-year exceptional item of ₹17.40 crore reduced profit before tax to ₹330.23 crore. Total full-year tax expense was ₹126.29 crore including a deferred tax credit of ₹11.20 crore.
Full-year purchase of traded goods was ₹5,718.58 crore against ₹4,683.08 crore — a 22.1% increase well below the 26.1% revenue growth, confirming improving gross merchandise margin as the product mix shifts toward higher-margin owned and exclusive brands. Full-year depreciation rose sharply to ₹320.33 crore from ₹266.40 crore as warehouse and technology infrastructure investments continue.
What is driving the growth
Nykaa’s beauty and personal care segment — the original and still dominant business — is benefiting from India’s premiumisation trend in cosmetics, skincare, and personal care, where branded and premium products are gaining share at the expense of unbranded alternatives. The company’s owned brand portfolio, which carries structurally higher margins than distributed brands, is scaling as a proportion of the mix.
The fashion segment — Nykaa Fashion — continues to scale but remains the margin drag relative to beauty. The full-year improvement in EBITDA margin reflects beauty’s growing dominance in the revenue mix alongside operational leverage from the logistics and warehouse network built over the past three years.
The ₹10,000 crore revenue milestone — crossed in FY26 — combined with ₹203 crore in annual profit represents Nykaa’s clearest demonstration yet that the business model works at scale. The question heading into FY27 is whether the margin trajectory from 6.47% to 8.40% EBITDA can continue — and whether the fashion segment’s path to profitability accelerates alongside the beauty engine.
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