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India’s leading omnichannel lifestyle retailer Nykaa has reported a substantial increase in net profit for the second quarter of the financial year 2026 (July–September), driven by robust performance in both its fashion and beauty segments. The company’s earnings indicate strengthening consumer demand amid festive season shopping.
Nykaa’s consolidated net profit surged 153% year-on-year to ₹33 crore in Q2 FY2026, compared with the same period last year. The company also posted a 25% rise in revenue from operations to ₹2,346 crore. These figures reflect sustained growth momentum across the business.
Fashion Segment Shows Remarkable Revival
A key highlight of Nykaa’s quarterly performance was the strong recovery in its fashion division. The segment’s gross merchandise value (GMV) increased by 37% year-on-year, significantly outpacing previous growth trends and signalling renewed consumer interest in apparel and lifestyle products.
According to Nykaa, the fashion vertical’s progress contributed meaningfully to overall revenue, helping narrow losses at the operational level as the segment moved closer to profitability.
Beauty Business Continues Robust Growth
Nykaa’s core beauty segment also delivered strong performance in the quarter. The division’s GMV rose 28% year-on-year to ₹3,551 crore, reinforcing its position as the company’s primary revenue driver. Growth was fuelled by healthy demand across both e-commerce and physical retail channels, including Nykaa’s own brands.
The brand has expanded its offerings and retail footprint, enhancing its omnichannel reach and tapping into rising consumer interest in premium and diverse beauty products.
Improved Profitability
Nykaa’s operational performance also improved in Q2. The company noted a narrowing of its earnings before interest, taxes, depreciation and amortisation (EBITDA) loss margin, which moved from a wider deficit in the prior year to a more consolidated position this quarter.
This reflects the company’s ongoing focus on cost management, customer engagement, and profitable growth as it scales both its beauty and fashion businesses.
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