Indian beauty and fashion company Nykaa has reported its strongest financial performance so far. In FY26, the company crossed the $1 billion revenue mark for the first time while also recording a big rise in profits. The latest earnings show that Nykaa’s beauty business is growing rapidly, its fashion segment is improving, and its own brands are becoming major revenue drivers.
For the full financial year FY26, Nykaa’s operating revenue rose 26.1% year-on-year to ₹10,022 crore, compared to ₹7,950 crore in FY25. The company’s net profit more than doubled to ₹204 crore, showing a 183.3% jump from last year.
Nykaa also recorded its highest-ever EBITDA margin of 7.5%, supported by strong sales in premium beauty products and better cost management.
The company performed strongly in the January-March quarter as well. During Q4 FY26, revenue increased 28.4% year-on-year to ₹2,648 crore, while net profit jumped more than 300% to around ₹79 crore.
Nykaa’s gross margin reached 45.4% during the quarter, the highest in the last 14 quarters. At the same time, the company improved its financial health by reducing net debt by 47% to ₹329 crore. Return on Capital Employed (ROCE) also almost doubled to 21.2%.
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Beauty Business Remains Nykaa’s Biggest Strength
Nykaa’s Beauty and Personal Care (BPC) segment continued to lead the company’s growth. The segment contributed around 91% of the company’s operational revenue during Q4 FY26.
The beauty business recorded Gross Merchandise Value (GMV) of ₹14,954 crore in FY26, while quarterly growth stood at 29% year-on-year. EBITDA margin for the segment improved to 10.3% in Q4, showing strong profitability.
Customer activity on the platform remained high throughout the year. Nykaa recorded nearly 1.9 billion visits in FY26 along with 44.7 million monthly active users and 19.7 million annual transacting customers. Customers placed nearly 65.8 million orders during the year.
Premium beauty products continued to drive demand. Sales of Korean beauty products grew 58% year-on-year across more than 70 brands. Dermocosmetic products also saw strong growth and now contribute nearly 20% of Nykaa’s skincare sales.
To strengthen its premium beauty portfolio, Nykaa added more than 200 international brands in FY26. Global beauty names like Chanel Beauty, Armani Beauty, Kylie Cosmetics and SK-II joined the platform during the year.
Fashion Business Shows Major Improvement
Nykaa’s fashion business also showed strong improvement in FY26. Earlier, the segment had been putting pressure on the company’s profits, but this year losses reduced sharply.
Nykaa Fashion improved its EBITDA margin from negative 8.3% in FY25 to negative 2.6% in FY26. More importantly, the segment became EBITDA positive in Q4 FY26 with a margin of 0.3%.
Fashion GMV grew 30% year-on-year to ₹4,954 crore during FY26. The company added more than 1,280 brands and expanded partnerships with global fashion companies like Nike and H&M.
Nykaa’s own brands business, called House of Nykaa, became one of the fastest-growing parts of the company. Its 12 in-house brands generated annualised GMV of ₹3,176 crore in FY26, growing 49% year-on-year.
Among these brands, Dot & Key emerged as a major growth driver, reaching ₹1,790 crore GMV. Kay Beauty crossed ₹380 crore GMV, while Nykaa Cosmetics crossed ₹400 crore GMV.
Nykaa also increased its stake in clean beauty brand Earth Rhythm, giving the company majority ownership.
Offline Expansion and Quick Delivery Push Continue
Along with online growth, Nykaa also expanded its offline presence aggressively. The company added 76 new physical stores during FY26, taking its total store count to 313 across 99 cities.
Nykaa also launched new retail concepts, including fragrance-only stores and beauty-plus-café experiences.
To compete with fast delivery platforms, Nykaa expanded its quick commerce service “Nykaa Now” in major metro cities. The service competes with companies like Blinkit and Zepto by offering deliveries within 30 minutes to two hours.
Even after the strong results, analysts remain divided on Nykaa’s valuation. Some brokerages are positive about the company’s long-term growth, while others believe the stock is already trading at a premium price.
Still, Nykaa’s FY26 performance clearly shows that the company is entering a new growth phase with stronger profits, better margins, expanding offline stores, and improving business efficiency in India’s beauty and fashion market.