The Nykaa Fashion platform, fashion-owned businesses, the Nykaa Man lifestyle company, and LBB (Little Black Book), the content platform, make up the fashion division.
Nykaa’s parent company, FSN E-Commerce Ventures, predicted on Sunday that the first quarter of 2024–2025 (FY25) would see a year-over-year consolidated revenue growth of about 22–23%. The business noted a “muted” demand climate in the fashion industry, but the growth momentum for the beauty vertical was also strong.
The company stated that for the combined entity, the GMV (Gross Merchandise Value) growth for the quarter is expected to be in the mid-20s year-on-year in a BSE filing on its quarterly revenue update for the April-June quarter of FY25.
Additionally, FSN E-Commerce Ventures announced that starting this quarter, it will start providing segmented information based on vertical criteria.
“Nykaa – FSN E-Commerce Ventures Limited along with its subsidiaries, that is the consolidated entity expects its revenue growth to be around 22-23 per cent YoY in Q1 FY2025,” the business stated.
Similar to the revenue growth of the consolidated organisation, the Beauty vertical revenue increase for the quarter is anticipated to be between 22 and 23 percent YoY.
“In keeping with the long-term growth trajectory of the BPC (Beauty and Personal Care) business, GMV growth is anticipated to be stronger, in the mid 20s YoY. This is true even if our physical retail business has grown more slowly, which has been affected by the elections and the heatwaves that have affected North India,” the statement stated.
The Indian apparel industry’s soft demand environment was noted by the company.
“India’s fashion industry as a whole still faces difficulties due to a low level of demand. Due to fewer weddings and celebrations, the growth was further hampered in this seasonally bad quarter, the company said.
It stated that in this setting, a strong performance from the Fashion vertical revenue is anticipated, with revenue growth of about 20% YoY. The mid-teens YoY GMV growth is anticipated to be lower for the quarter.
The beauty division includes physical stores, beauty-owned brands, and the online beauty platform Nykaa. It also includes the Nykaa Man BPC business and the eB2B distribution company Superstore by Nykaa.
The Nykaa Fashion platform, fashion-owned businesses, the Nykaa Man lifestyle company, and LBB (Little Black Book), the content platform, make up the fashion division.