BENGALURU, INDIA: Indian beauty products retailer Nykaa reported a 49% fall in quarterly net profit on Friday, hit by soaring expenses amid dull demand for its personal care and fashion products.
FSN ECommerce Ventures Ltd, Nykaa`s parent company, has reported steep declines in profits in all three quarters since it went public, owing to its efforts to double down on marketing the brand as it emerges from the pandemic.
Consolidated net profit fell to 8.56 crore rupees ($1.10 million) in the fourth quarter ended March 31, from 16.88 crore rupees a year earlier, said parent company FSN ECommerce Ventures Ltd. said in a legal filing.
The fashion platform, run by Falguni Nayar, says its marketing spend in 2020 is particularly low because it hasn’t spent much on advertising due to the pandemic.
Operating revenue rose to Rs 973 crore from Rs 741 a year ago.