Honasa Consumer Q4FY26: Profit jumps 177%, TP ₹420

Stock hits a fresh 52-week high on heavy volumes

Shares of Honasa Consumer, the parent of Mamaearth, rallied sharply in intraday trade after the company reported a strong March 2026 quarter (Q4FY26). On the BSE, the stock rose about 10% to touch ₹397.65, which the reports described as a 52-week high, supported by heavy volumes. In another datapoint cited, the stock had earlier crossed its previous high of ₹364.80 touched on May 15, 2026. The counter has also been reported to have hit an all-time high of ₹546.50 on September 10, 2024. Around 09:28 AM during the session referenced, Honasa was quoted at ₹389.95, up about 8%, while the BSE Sensex was up 0.41%. The move placed the company back in focus after a period of range-bound trading earlier in the year.

What Honasa reported for Q4FY26

Honasa said Q4FY26 delivered its highest-ever quarterly revenue, alongside a sharp improvement in profitability. One report put quarterly revenue at ₹682 crore, up 28% year-on-year (YoY), driven by healthy volume growth. Another set of reported financials pegged consolidated revenue from operations at ₹657 crore in Q4FY26 compared with ₹534 crore in Q4FY25, implying 23% YoY growth. Despite the revenue being described as only marginally ahead of some expectations, profitability was repeatedly flagged as significantly better than anticipated. Like-to-like (LTL) sales growth was reported at 28% YoY in the quarter. The company attributed the momentum to its core brands and improving offline distribution.

Profit after tax more than doubles

Honasa posted its highest-ever profit after tax (PAT) for Q4FY26 at ₹69 crore, more than doubling from ₹25 crore in Q4FY25. The YoY PAT increase was cited at about 177% to 178% depending on the report. Profit before tax was reported at ₹82 crore, up 154% YoY during the quarter. PAT margin improved to 10.6% from 4.7% a year ago. The strong expansion in margins was a key driver behind the sharp re-rating in the day’s trade. The company also indicated this was the third consecutive quarter of more than 20% growth.

EBITDA hits an all-time high, margins stay largely stable

EBITDA (earnings before interest, tax, depreciation and amortisation) for Q4FY26 was reported at ₹77 crore, up more than 185% YoY from ₹27 crore in Q4FY25. This made Q4FY26 Honasa’s highest-ever quarterly EBITDA as well, alongside revenue. Gross profit increased 22% YoY to ₹462 crore in Q4FY26. Gross margin moderated marginally to 70.3% from 70.7% in the year-ago quarter, indicating that the bulk of the profitability improvement came from operating leverage rather than a step-up in gross margin. The combination of higher scale and improved cost absorption appeared to be central to the quarter’s operating performance.

Maiden dividend: ₹3 per share, subject to approval

Alongside the quarterly numbers, Honasa announced a maiden dividend of ₹3 per share. The dividend is pending shareholder approval, as noted in the reports. For a consumer brand platform that has been in investment mode, the move was positioned as a milestone, signalling improving profitability and cash flow confidence. The announcement added to the positive tone around the results day. Investors typically track dividend initiation closely, especially when it coincides with accelerating earnings.

JM Financial raises target price to ₹420, keeps ‘Buy’

JM Financial maintained a ‘Buy’ rating on the stock and raised its target price to ₹420 from ₹375. The brokerage cited Q4FY26 profitability as a meaningful beat versus estimates, even as revenue was described as only marginally ahead of expectations. Factoring the strong quarter, an upbeat outlook, and the Reginald acquisition (as referenced in the reports), JM Financial raised its FY26-28E estimates by 9% to 12%. The change in target and estimates helped reinforce the market’s view that earnings momentum had improved. The commentary also aligned with the market’s focus on sustaining growth while expanding margins.

How the stock has performed recently

Honasa’s rally came after a steady run-up across multiple time frames mentioned in the reports. The stock was said to be up 10% over one week, 12% over one month, 29% over three months, and 41% over one year. With the session’s high, it was also described as having rallied about 60% from its 52-week low of ₹248.55 hit in December 2025. These percentage moves framed the results reaction as part of a broader recovery rather than a single-day spike alone. The strong quarter, coupled with a higher brokerage target, provided a near-term catalyst.

Key numbers at a glance

Price milestones and brokerage update

Why the quarter matters for investors

The Q4FY26 print reinforced a key market theme for consumer brand platforms: growth plus operating leverage. Honasa’s revenue growth was supported by continued momentum in core brands and improving offline distribution, while profitability scaled faster than sales. The EBITDA jump to ₹77 crore and the PAT expansion to ₹69 crore materially changed the quarter’s earnings profile versus the prior year. At the same time, the near-flat gross margin indicated that cost discipline and scale benefits played a larger role than pricing-led expansion. JM Financial’s higher target price and estimates revision underscored how quickly earnings expectations can reset after a margin beat.

What to watch next

Investors will likely track shareholder approval for the ₹3 per share dividend and subsequent timelines for payout. The market will also watch whether Honasa can sustain more than 20% growth, which the company said it has delivered for three consecutive quarters. Any further disclosures around distribution expansion, brand-level traction, and the integration impact of the Reginald acquisition (as referenced by the brokerage) will remain important. Near-term, the stock’s ability to hold levels around the newly cited highs will depend on follow-through in operating performance rather than the one-off results reaction.