Mumbai: Nykaa recently announced its financial results for the quarter and financial year ended 31 March 2022. The financial report highlights that FSN E-commerce Ventures, Nykaa’s parent company, has experienced overall strong performance in FY2022 amidst various macro-economic challenges such as rising inflation, reduction in discretionary spends by consumers, and uncertainty around Covid-19.
Nykaa reported a 49 per cent decline in consolidated net profit at Rs 8.56 crore in the fourth quarter from Rs 16.88 crore a year earlier. The company had posted a net profit of Rs 16.8 crore in the year-ago period. Its revenues from operations, however, rose 31 per cent to Rs 973.32 crore in the quarter as against Rs 740.52 crore in the same quarter last fiscal.
Its Gross Merchandise Value (GMV) grew 45 per cent year on year to Rs 179.79 crore in March quarter, while it increased 71 per cent to Rs 693.32 crore in FY22. Revenue from operations grew 55 per cent year on year to Rs 377.39 crore and grew 31 per cent to Rs 973.3 crore in the quarter ended 31 March 2022.
Profit after tax stood at Rs 41.3 crore in FY2022, a decline of 33 per cent from a year-ago period.
Nykaa chairperson MD and CEO Falguni Nayar said. “The year has witnessed a challenging macroeconomic environment, pronounced for discretionary categories like beauty, personal care and fashion. Despite market slowdown, our unique growth story continues, showing the resilience of our business model and long term sustainability by balancing strong revenue growth, responsible unit economics and profitability.”
“We acquired over six million new customers across beauty and fashion, and witnessed superior customer retention, with improved metrics across the funnel - from visits to conversions. We have expanded our addressable market through new growth engines - speciality retail stores, Nykaa Man, and SuperStore. These businesses, along with our consumer brands portfolio have witnessed increasing momentum through the year,” she added.
“Our consumer brands have recently seen expansion into wellness, activewear and personal care through purpose-driven brand acquisitions. We deeply value our shareholders’ faith in us and hold their capital in highest regard. Our investments are always made in getting the building blocks right - such as tech platform, customer experience, assortment - and growing our new and early-stage businesses in a sustainable manner with a long term focus,” concluded Falguni.
