Nykaa's faster growth keeps Street bullish, but valuations rich too

Nykaa Fashion may have gained market share even if growth has been slower than in BPC

The July-September quarter (Q2) business update on revenue by FSN E-Commerce Ventures (Nykaa) was well received by most investors and the share price surged over 6 per cent, driven by one block deal, on Monday. Even after Wednesday’s minor dip, it was still higher at ₹257.50 as compared to Monday’s close of ₹255.55. The key highlights from the quarterly update are as follows.

 

In Beauty & Personal Care (BPC), net revenue growth is estimated at mid-twenties (25-26 per cent year-on-year (Y-o-Y) versus Q1FY26 at 23.9 per cent).

 

The Y-o-Y growth of net merchandise value (NSV) for BPC is