Nykaa Q4 Results: Net Profit Falls 71 Per Cent, Operations Revenue Up 33 Per Cent

According to the company's filing with the exchange, Nykaa's EBITDA surged by 84 per cent to Rs 70.7 crore during the quarter, with the margins reaching 5.4 per cent, a rise of 147 basis points.

FSN E-Commerce Ventures, the parent company of Nykaa, announced a net consolidated profit of Rs 2.41 crore for the quarter ended March, representing a 71.83 per cent decline from Rs 8.56 crore in the same quarter of the previous year.

The company reported revenue from operations of Rs 1,301.72 crore, a 33.74 per cent increase from Rs 973.32 crore in the corresponding quarter last year.

According to the company's filing with the exchange, Nykaa's EBITDA surged by 84 per cent to Rs 70.7 crore during the quarter, with the margins reaching 5.4 per cent, a rise of 147 basis points.

The gross merchandise value (GMV) for Nykaa in the quarter stood at Rs 2,445.4 crore, marking a 36 per cent year-on-year increase.

FSN E-Commerce Ventures also disclosed that out of the total Rs 604 crore received from the initial public offering, Rs 33 crore remains unutilised.

For FY23, Nykaa reported a 36 per cent increase in overall revenue to Rs 5,174 crore. This growth was supported by the non-operating income of Rs 30.2 crore from interest and gains on financial assets, the filing showed. 

The largest cost element for Nykaa was the purchase of traded goods, accounting for 55.8 per cent of total expenditure. This cost rose by 34.5 per cent to Rs 2,866 crore in FY23 from Rs 2,130 crore in FY22.

Spending on employee benefits increased by 50.8 per cent to Rs 491.7 crore during the year, while the company recorded depreciation-amortization and finance costs of Rs 173 crore and Rs 75 crore, respectively, in FY23.

Nykaa's total expenses grew by 36.8 per cent to Rs 5,135 crore in FY23 compared to Rs 3,753 crore in FY22. The company's profits contracted by 49 per cent to Rs 21 crore in FY23, down from Rs 41.3 crore in FY22. Cash outflows from operations also decreased by 60.5 per cent to Rs 140 crore during the same period.

According to a report by Entrackr, after its listing on the BSE in November 2021, Nykaa, led by Falguni Nayar, currently holds an estimated market capitalization of $4.3 billion.