almost wiped out in the three months ending 30 September.
That, after the company—popularly known by its brand name Nykaa—
Started at a premium of 79.4% in Indian stock markets Till its IPO price and closed at Rs 2,205 – up 96%. Analysts said last week that
Considering the strong long-term growth prospects, its valuation looks expensive.
Shares of Nykaa fell as much as 7.4% to Rs 2,185 on Monday, before closing some losses as low as 3.28%.
According to Nykaa’s first quarter results after listing, its net profit fell 96% to Rs 1.2 crore in the September quarter, as marketing costs rose ahead of its IPO. A 92% increase in expenses led to a 47% increase in revenue to Rs 890 crore. Gross merchandise value in Nykaa’s beauty and personal care segment—the total value of merchandise sold in a given period—was up 38%, while the GMV from its fashion vertical more than tripled during the quarter. The company added eight new physical outlets to increase its store count to 4 by September 30.
“We have maintained the momentum of growth in our beauty business, ramped up our fashion business and focused on building the Nykaa brand with strong marketing campaigns,” said the CEO.
Falguni Nayar said in a statement.
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Nayaka was made to survive in stock markets: Falguni Nayari
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Nykaa is part of a new generation of Indian internet firms that have either listed or are planning to do so in the near future to make the most of the pandemic-induced surge in demand for online services. zomato
kickstart The trend in July which is now being followed by several tech startups including Paytm, which
Recently raised funds India’s largest IPO and policy market
which is listed on the stock exchanges on Monday.
With inputs from agencies.