Honasa Consumer, the parent company of Mamaearth, has granted 24.61 lakh employee stock options (ESOPs) under its 2018 plan. Valued at approximately ₹57 crore based on the National Stock Exchange’s opening price of ₹232 per share, each option allows employees to convert shares at an exercise price of ₹10 after vesting.
Five-Year Vesting Plan Linked to Performance
Approved by the Nomination and Remuneration Committee on April 2, 2025, the ESOPs will vest over five years. The structure ties eligibility to employees’ tenure and Honasa’s performance benchmarks. Upon vesting, employees can acquire shares by paying the exercise price and applicable taxes.
Q3 FY25 Financial Highlights
Honasa reported a 5.9% year-on-year revenue growth, reaching ₹517.5 crores in Q3 FY25. Net profit remained steady at ₹26 crore, recovering from a ₹24.3 crore loss in the previous quarter. The EBITDA margin stood at 5%, reflecting operational stability.
Diversified Brand Portfolio Drives Expansion
With brands like Mamaearth, The Derma Co., and BBlunt, Honasa has expanded its retail presence to over 2 lakh FMCG outlets. Strategic initiatives like Project Neev aim to strengthen offline distribution in metro cities, enhancing market penetration.
Employee-Centric Growth Strategy
The ESOP grant underscores Honasa’s focus on employee retention and aligning workforce goals with long-term growth. Earlier in 2025, the company allocated smaller ESOP batches, reflecting a consistent approach to incentivizing talent.
Final Takeaway
Honasa’s latest ESOP move highlights its dual focus on rewarding employees and sustaining growth in India’s competitive personal care market. With robust financials and strategic expansions, the company aims to solidify its leadership in the FMCG sector.