Nykaa shares jump nearly 4% after projecting 'late twenties' net revenue growth in Q4

Shares of FSN e-Commerce Ventures Ltd., parent company of beauty and fashion e-tailer Nykaa, gained as much as 4% on Monday, April 6, after it announced its business update for the March quarter.

In its exchange filing, Nykaa announced that its Gross Merchandise Value (GMV) growth on a consolidated basis is likely to be in the late twenties, while the consolidated NSV growth is expected to be in the early thirties.

On the topline front, Nykaa expects consolidated revenue to grow in the late twenties, which marks the highest growth in the last 12 quarters.

Nykaa attributed this topline growth to the strong acceleration in its fashion vertical, along with sustained performance of its beauty vertical.

With this, Nykaa expects consolidated NSV growth for the full year to surge to late twenties, from mid-twenties seen over the last two years. Net revenue growth is also seen accelerating to the upper end of the mid-twenties, compared to the same period last year.

Nykaa's beauty vertical is expected to deliver GMV, NSV and net revenue growth of late twenties, with the NSE outperforming the GMV and net revenue growth.

The company opened 26 new stores during the quarter, along with 11 Kiehl's store integrations, marking the highest quarterly addition till date. This has taken the total store count to 313 as of March 31 this year.

Nykaa's fashion vertical has seen steady growth recovery since the start of financial year 2026 and the management is confident of the trajectory to improve further, with GMV growth of late twenties and NSV growth at early forties.

"The superior performance was driven by improving momentum in platform business including funnel improvement and robust customer acquisition," the filing said. As a result, Net Revenue growth for the fashion vertical has improved to the late thirties.

Nykaa has not seen any material impact this quarter due to the ongoing situation in West Asia, with the current exposure to the geography being below 1% of the overall revenue, given that the business is in early stages.

Shares of Nykaa are trading 3.5% higher on Monday at ₹254.21. The stock has remained flat over the last one month and is down 4% over this year so far and is down 11% from its 52-week high of ₹285.