Shares of Nykaa parent FSN E-commerce surged as much as 5 percent in early trade on April 8 after the company painted expectations of a strong growth outlook in Q4.
At 10.40am, shares of Nykaa were trading at Rs 173.55 on the NSE. Volumes in the counter also remained strong as 81 lakh shares changed hands on the exchanges so far, significantly higher than the one-month daily traded average of 50 lakh shares.
In its latest business update, the company stated that it anticipates a "high twenties" on-year growth in revenue during the January-March quarter. Nykaa also clocked in a "early thirties" growth in Gross Merchandise Value (GMV), which represents the total value of goods sold through its e-commerce platforms before any deductions.
Follow our market blog to catch all the live updates
The company projected net sales value growth exceeding 25 percent year-on-year, mirroring its robust revenue growth.
The firm also stated that strong customer demand resulted in healthy volume growth along with strong offtake from key categories like makeup and skin.
In the beauty and personal care segment, Nykaa anticipates a year-on-year GMV growth of approximately 30 percent, along with a 'mid-twenties' spike in net sales value. This growth is likely to be ahead of industry trends in this segment.
While industry growth in the fashion segment remains subdued according to Nykaa, the company's GMV for this vertical is expected to rise in the "high twenties" with NSV growth in the "mid-twenties."
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
