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Informist, Tuesday, Aug. 4, 2026

 

--FSN E-Comm: Expect to sustain average order value for beauty vertical ahead 
--FSN E-Comm: Repeat customers contributed more to revenue in Q1 
--CONTEXT: Comments by FSN E-Comm mgmt in post-earnings analyst concall 
--FSN E-Comm: Don't expect Nykaa Now expansion to be dilutive to EBITDA 

 

By Diksha Tripathy and Eshitva Prakash 
 

MUMBAI – Repeat customers contributed to a higher share of revenue than new buyers for FSN E-Commerce Ventures Ltd. in the June quarter, the company's top deck said in a post-earnings analyst call Tuesday. Additionally, its management expects average order values in the company's beauty vertical to remain resilient and does not see the expansion of its quick-commerce platform, Nykaa Now, hurting its profitability.

 

Its management said a higher proportion of sales now comes from existing customers, allowing customer acquisition costs to be spread over a larger revenue base. It added that this trend has been a key driver of marketing efficiency in the beauty business and is beginning to play out in the fashion segment as well.

 

The company expects average order values to be supported by premiumisation through higher-priced products, larger basket sizes and higher purchase frequency. It said rising awareness, affordability, and beauty consumption in India should further support this trend. 

 

On Nykaa Now, its management said it does not expect the platform's expansion to be dilutive to earnings before interest, tax, depreciation, and amoritsation margin despite higher fulfilment costs associated with quick-commerce deliveries. The company said customers using Nykaa Now are purchasing more frequently, while average order values remain broadly in line with those on the main platform, offsetting the increase in fulfilment costs. 

 

Nykaa Now currently operates in 13 cities with more than 1,000 beauty and personal care brands available for delivery within 30–60 minutes, its management said. The company plans to expand the service to more than 25 cities by the end of 2026–27 (Apr-Mar).

 

The company announced its June quarter earnings Tuesday after market hours. Shares of FSN E-Commerce Ventures closed at INR 342.50 apiece on the National Stock Exchange, down nearly 1%. For the June quarter, the company reported a consolidated net profit of INR 800.1 million on revenues of INR 27.82 billion.  End

 

Edited by Deepshikha Bhardwaj

 

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