• Nykaa reported a net income of 69.3 million rupees for the fourth quarter, missing estimates of 132.7 million rupees.
• The Q4 revenue totalled at 16.68 billion rupees, slightly over the estimated 16.31 billion rupees.
• Total costs for the quarter were 16.6 billion rupees, marking a 28% year-on-year rise.
• Other income for the quarter stood at 70.6 million rupees, down by 28% compared to the same period last year.
• Ebitda increased by 32% year-on-year to 933 million rupees, beating the estimated 884.3 million rupees.
• The gross merchandise value (GMV) was 32.2 billion rupees, up by 31% year-on-year, and above the estimated 31.7 billion rupees.
• Beauty and personal care segment had a GMV of 21.2 billion rupees, marking a 30% year-on-year increase, and surpassing the estimated 20.65 billion rupees.
• The fashion segment GMV totalled 8.42 billion rupees, growth of 27% year-on-year, but slightly below the estimated 8.64 billion rupees.
• Other segments posted a GMV of 2.55 billion rupees, witnessing a significant 68% year-on-year increase, and beating the estimated 2.46 billion rupees.
• There are plans to merge Iluminar Media Limited Lbb into Nykaa Fashion.
• Nykaa plans to acquire the Western wear business of Nykaa Fashion.
• A transfer of 100% in Iluminar Media to Nykaa Fashion is in the pipeline.
• Further investment of up to INR200M in Fsn International and up to $1.9M by Fsn Intl in Unit is being considered.
A look at FSN E-Commerce Ventures (Nykaa) Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
FSN E-Commerce Ventures (Nykaa) has a mixed outlook according to Smartkarma Smart Scores. With a moderate Value score of 2, the company may not be undervalued compared to its peers. However, its low Dividend score of 1 indicates a lack of focus on dividend payouts to investors. On a brighter note, Nykaa scores a respectable 3 for both Growth and Resilience, showing potential for future expansion and ability to withstand market challenges. The company also earns a Momentum score of 3, suggesting positive market sentiment and potential for upward stock price movement in the near future.
Operating as an e-retailer specializing in beauty and personal care products, FSN E-Commerce Ventures (Nykaa) offers a wide range of items in various categories such as makeup, skin care, hair care, grooming appliances, and wellness products to a global customer base. While facing some challenges in terms of valuation and dividend distribution, Nykaa shows promise in terms of growth, resilience, and current market momentum, indicating a potentially bright long-term future for the company.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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