Nykaa parent company FSN E-Commerce Ventures forecasts revenue growth of 22-23% in Q1 FY25

FSN E-Commerce Ventures, the parent company of beauty and fashion giant Nykaa, projects consolidated revenue to grow by 22-23% year-on-year in Q1 FY25 for both the beauty vertical and the consolidated entity.

“Nykaa – FSN E-Commerce Ventures Limited, along with its subsidiaries, the consolidated entity, expects revenue growth of around 22-23% year-on-year in Q1 FY25,” the company said in a filing to the Bombay Stock Exchange, reports Press Trust of India. “The GMV (gross merchandise value) growth is expected to be higher, in the high 20s year-on-year, in line with the long-term growth trajectory of the BPC (Beauty and Personal Care) industry. This is despite relatively slower growth in our physical retail business, which was impacted by the elections as well as the heatwaves in northern India.”

The company reported lower demand levels in the fashion segment compared to the beauty segment. From this quarter, FSN E-Commerce Ventures said it plans to start reporting financial results for each of its segments, India Retailing reported.

“The overall fashion industry in India continues to face challenges due to subdued demand,” the company said. “Growth was further dampened in this seasonally weak quarter due to reduced weddings and celebrations.”

FSN E-Commerce Ventures expects fashion revenue to grow around 20% year over year. The company expects GMV growth for its fashion segment to hover in the mid-teens.