Nykaa expects Q1 revenue growth near 30%, helped by fashion recovery

FSN E-Commerce Ventures, the parent of beauty and fashion retailer Nykaa, said it expects its consolidated net revenue to grow nearly 30% in the June quarter from a year earlier, helped by stronger performance in its fashion business and steady momentum in beauty.

The company, in a voluntary quarterly update filed with the stock exchanges on Sunday, said consolidated gross merchandise value (GMV) and net sales value growth for Q1 FY27 are expected to be in the early thirties on a year-on-year (YoY) basis. The update is provisional and subject to review by the company’s statutory auditors.

Nykaa said the growth was driven by its fashion vertical, which has been under pressure over the past several quarters amid weak discretionary demand and high customer acquisition costs. The business is expected to report net sales value growth of around 55%, marking a sharp acceleration from previous quarters.


Fashion net revenue growth is expected to accelerate to nearly 50%, reaching a multi-quarter high. The company said the improvement was helped by stronger performance across women, men, kids, and home categories, expansion in brand assortment, and marketing investments made over the past few quarters. Its partnership with Nike also delivered encouraging early results, Nykaa said.

The performance signals early recovery in Nykaa Fashion, which has been a drag on the company’s overall profitability and growth profile. The company has been trying to reposition the vertical around premium and curated fashion, while improving the conversion from gross merchandise value to net sales value by reducing leakages such as returns and cancellations.

Nykaa’s core beauty vertical is expected to deliver net sales value and net revenue growth in the late twenties. The company said net revenue growth would marginally trail net sales value growth because of a higher contribution from House of Nykaa brands, which do not have a marketing income component.

The omnichannel beauty business continued to see accelerated growth, similar to the March quarter. Retail performance grew about 15% on the back of higher same store sales and also Nykaa’s total store count rising to 324 as of June 30, up from 313 in March 2026.

House of Nykaa brands continued to grow rapidly, led by Kay Beauty, Nykaa Cosmetics, and Dot & Key, the company said, adding that the filing does not constitute financial results or earnings guidance.