Nykaa, India’s leading beauty and fashion e-retailer, announced expectations of consolidated net revenue growth in the late twenties percentage for its second quarter of financial year 2027. The company highlighted robust expansion in its fashion vertical and successful brand partnerships as key growth drivers.
- Q2 net revenue growth expected in late twenties percentage
- Fashion vertical sees NSV growth near late forties
- Nike partnership gains traction with exclusive offerings
What happened
Nykaa disclosed its business outlook for the second quarter of FY27, projecting consolidated net revenue growth in the late twenties percentage range. The company anticipates gross merchandise value (GMV) growth to approach the thirties, while net sales value (NSV), which adjusts for returns and discounts, should grow in the early thirties.
The fashion vertical emerged as a standout performer, expected to achieve NSV growth in the late forties and net revenue growth in the early forties. Nykaa expanded its brand assortment by adding over 250 new brands during the quarter. The retailer's partnership with Nike continues to produce encouraging early results, fueled by exclusive product drops.
Why it matters
Nykaa’s strong forecast signals sustained momentum in India’s growing online beauty and fashion market. The accelerated growth in fashion reflects changing consumer trends and increased demand for lifestyle products beyond beauty. This diversification strengthens Nykaa’s competitive position in the e-commerce landscape.
The addition of a large number of brands and successful collaborations, such as with Nike, enhance Nykaa’s product appeal and likely contribute to increased customer engagement. The company’s physical retail footprint also expanded to 338 stores, with same-store sales growth reaching its highest level in six quarters, indicating a balanced omnichannel strategy.
What to watch next
Investors and market observers should monitor Nykaa’s performance in the upcoming Q3, which will capture a larger portion of the festive season, potentially shifting some growth momentum from Q2. The company’s ability to sustain double-digit growth amid seasonal shifts will be a key indicator of its operational resilience.
Further developments around Nykaa’s brand partnerships, product exclusives, and store expansion plans will provide insight into its growth strategy execution. Observers should also track profitability trends given the maintained net profit increase seen in recent quarters alongside rising revenues.