FSN E-Commerce Ventures Limited — PPTs, 30-05-2025: Investor Presentation

1. Financial Highlights:

Nykaa’s net revenue grew 24% YoY to Rs 7,950 Cr, with GMV rising 25% to Rs 15,604 Cr. Gross margin expanded 84 bps to 43.7%, driven by higher service income and a premium brand mix. EBITDA increased 37% to Rs 474 Cr (6.0% margin), while PAT nearly doubled to Rs 72 Cr, reflecting better operational leverage. Fulfilment expenses improved to 9.3% of revenue and marketing costs eased to 12.5%. Working capital days shortened from 42 to 34, with capex controlled at Rs 128 Cr. Operating cash flow jumped to Rs 467 Cr, supporting growth and investments.

2. Strategic Initiatives & Growth Drivers:

Nykaa expanded its retail footprint to 237 stores across 79 cities and onboarded 270+ new beauty brands, fueling 30% GMV growth in beauty. Investments in content, live streams, and consumer engagement (4 mn+ views) boosted demand. Fashion showed 12% GMV growth, supported by platform enhancements and marquee brands. The eB2B segment gained traction through retailer additions and premiumisation efforts.

3. Business Developments:

Iluminar Media (LBB) merged into Nykaa Fashion and eB2B was demerged into Nykaa E-Retail to streamline operations and unlock synergies. House of Nykaa’s flagship brands saw strong traction: Dot & Key achieved Rs 910 Cr GMV, Nykaa Cosmetics crossed Rs 350 Cr, and Kay Beauty surpassed Rs 240 Cr GMV driven by viral launches and packaging upgrades.

4. Market Position & Competitive Advantage:

Nykaa remains India’s largest beauty retailer with unmatched scale via e-commerce, 237 stores, and a growing eB2B platform. Exclusive brand partnerships and high-profile launches reinforce its leadership. A premiumized product mix, proprietary brands, and immersive content strengthen consumer loyalty and margins. Selective fashion expansion targets profitable premium segments.

5. Investor Implications:

Nykaa’s scale, improving margins, and strong cash flow signal attractive growth potential. Structural moves enhance execution agility. Execution risks include competitive pressures and margin maintenance in fashion. Overall, robust customer acquisition, premium assortments, and retail expansion position Nykaa well for sustainable long-term value creation.