From Beauty To Fashion, Here Are Key Highlights

FSN E-commerce, the parent company of beauty ecommerce platform Nykaa, reported its financial results for the quarter ended March 2022 and financial year 2021-22 (FY22) on Friday (May 27). Here are the key highlights:

Headline Numbers: Nykaa’s consolidated profit after tax (PAT) declined 33% to INR 41.3 Cr in FY22. However, its revenue from operations zoomed 55% to INR 3,773.9 Cr during the year, while gross merchandise value (GMV) grew 71% to INR 6,933.2 Cr. The annual unique transacting customers grew 64% to 1.02 Cr.

Beauty And Personal Care Segment: The segment contributed 72.1% of the GMV at INR 4,998.7 Cr, registering a growth of 49% year-on-year (YoY). Total number of online visits to the vertical soared 34% to 88 Cr in FY22, while app downloads surged 44% to 4.73 Cr.

Monthly average unique visitors also shot up 54% to 2.08 Cr, while orders grew 58% to 2.7 Cr in FY22. Average order value (AOV), however, declined 5% to INR 1,864 in FY22.

Fashion Vertical: The fashion segment increased its contribution to the total GMV to 25.3% from 16.1% in FY21. Its GMV shot up 168% to INR 1,751 Cr in FY22. The annual unique transacting customers on the fashion vertical grew 182% to 18 Lakh in FY22, while it more than doubled its orders to 52 Lakh from 24 Lakh in FY21.

AOV for Nykaa Fashion also grew 25% to INR 3,420 during the financial year ending March 2022.

Physical Stores: The new-age tech startup expanded its physical footprint across the country. Nykaa’s physical stores grew 43% to 105 in FY22 from 73 outlets in FY21. It also increased its presence in 11 more cities, taking the total count to 49 in FY22. Its GMV per square feet per month stood at INR 3,442 in FY22.

Future Growth Strategy: Nykaa continues to expand its fulfilment centres across the country for better consumer experience. It expanded its warehouse capacity by 40% to 8.2 Lakh sq. ft. in FY22 and now boasts of 23 warehouses across 11 Indian cities. The startup said its eB2B distribution platform SuperStore, launched during the year, grew its transacting retailers by 353% on a quarter-on quarter basis to 18,806 in March 2022 quarter.

Besides, it is also focusing on expanding its existing portfolio and adding new brands through acquisitions. It acquired a host of beauty and personal care brands in the last one year such as Wanderlust, Dot and Key, Nudge, among others

“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. Our consumer brands have recently seen expansion into wellness, activewear and personal care through purpose driven brand acquisitions,” Nykaa MD and CEO Falguni Nayar said.