Nykaa (FSN E-Commerce) Q2 FY2026 Performance Review: Accelerated Profitability & Robust GMV Growth

FSN E-Commerce Ventures Ltd. (Nykaa) has delivered a robust performance for the second quarter We achieved a 244% year-on-year surge in consolidated net profit to ₹34.4 crore, driven by strong execution across all business verticals. Key Financial Highlights (Q2 FY26) Net Profit: Surged 244% YoY to ₹34.4 crore (vs. ₹10 crore in Q2 FY25). Consolidated GMV: Grew 30% YoY to ₹4,744 crore, reflecting strong consumer demand. Revenue from Operations: Increased 25.1% YoY to ₹2,346 crore, marking 12 consecutive quarters of mid-20s (or higher) growth. EBITDA: Grew 53% YoY to ₹158.5 crore. Margin Expansion: Profitability strengthened significantly. Gross Profit grew 28% YoY to ₹1,054 crore, achieving the highest gross margin in 12 quarters. The EBITDA margin expanded to 6.7% (vs. 5.5% in Q2 FY25), driven by scale efficiencies and an increased share from our owned brands. Key Operational Drivers Beauty & Personal Care (BPC): The core segment remains strong, with GMV rising 28% YoY to ₹3,551 crore. This was supported by a 37% YoY expansion in our physical retail space (now 265 stores) and a 31% YoY growth in our cumulative customer base to approximately 40 million. House of Nykaa (Owned Brands): This portfolio was a primary growth engine, achieving an annualized GMV run rate of approximately ₹2,900 crore (up 54% YoY). Dot & Key: Surpassed a ₹1,500 crore annualized GMV run rate (up 110% YoY) while maintaining high-teens EBITDA margins. Nykaa Fashion: The fashion segment demonstrated a strong recovery, with GMV growing 37% YoY to ₹1,180 crore. Most notably, the EBITDA margin (as % of Net Sales Value) showed significant operational leverage, improving from -9.0% in Q2 FY25 to -3.5% this quarter, reinforcing its trajectory towards breakeven. eB2B (Superstore): Our distribution network expanded its annualized GMV run rate to over ₹1,100 crore (up 25% YoY), now reaching 3.3 lakh retailers.