Nykaa Beauty EBITDA rises 51% as retail productivity expands in Q2FY27

Nykaa Beauty lifted Q2FY27 EBITDA by 51% year on year to Rs 267 crore, as gross merchandise value reached Rs 4,454 crore, retail same-store sales growth exceeded 20%, and Nykaa Now expanded to 15 cities with a plan to reach more than 25 cities by FY27-end. EBITDA margin rose to 10.5% of net sales value.

How did Nykaa Beauty's Q2FY27 growth translate into EBITDA?

Nykaa Beauty converted 25% gross merchandise value, or GMV, growth into 51% EBITDA growth in Q2FY27. GMV increased by Rs 903 crore from Rs 3,551 crore in Q2FY26 to Rs 4,454 crore, while net sales value, or NSV, grew 28% to Rs 2,536 crore. EBITDA rose by Rs 89 crore from Rs 178 crore a year earlier, and its margin expanded by 1.5 percentage points to 10.5% of NSV.

Nykaa Beauty's earnings growth accelerated even as GMV growth moderated from 28% in Q2FY26 to 25% in Q2FY27. NSV growth, in contrast, accelerated from 27% to 28%, while EBITDA growth rose from 32% to 51%. The 10.5% margin was also above 9.0% in Q2FY26 and 8.6% in Q2FY25.

Management said omnichannel growth remained driven by new-customer acquisition and repeat-customer engagement. It also said retail performance strengthened through network expansion and same-store sales growth in the early twenties, its highest level in six quarters, alongside the Q2FY27 EBITDA and margin increase.

What drove Nykaa Beauty's customer and retail productivity?

Nykaa Beauty's customer activity increased across traffic, transacting customers and order value in Q2FY27. Monthly active users, or MAUV, rose 30% year on year to 54.1 million from 41.6 million. Annual unique transacting customers, or AUTC, rose 26% to 22.1 million, while average order value, or AOV, increased 5% to Rs 2,149.

The Q2FY27 MAUV growth rate of 30% was faster than the 22% recorded a year earlier, whereas AUTC growth eased slightly from 27% to 26%. AOV growth improved from 1% in Q2FY26 to 5% in Q2FY27. Nykaa Beauty also reported a cumulative Beauty customer base of more than 52 million, up 31% year on year.

The physical network reached 338 Beauty stores across 111 cities at Q2FY27, after adding 14 stores and six cities during the quarter. Store count increased by 73 year on year from 265 in Q2FY26, and retail space exceeded 3.4 lakh square feet, up 26%. The network included 253 multi-brand outlets, 69 House of Nykaa outlets and 16 exclusive brand experiential outlets.

Retail productivity also improved on the measures shown by Nykaa Beauty. Same-store sales growth, or SSSG, moved from early teens in both Q2FY25 and Q2FY26 to more than 20% in Q2FY27, compared with high single-digit growth in Q2FY24. The retail AUTC index reached 3.9 times its Q2FY24 level, while the retail AOV index reached 1.4 times.

How is Nykaa Beauty extending its reach through brands and Nykaa Now?

Nykaa Beauty is broadening assortment through global launches, owned channels and faster delivery. It added more than 330 Beauty brands in the past year, with skin accounting for 33% of additions, hair 16% and makeup 14%. The presentation identifies Yves Rocher, ORIBE and Mamonde among exclusive global launches, alongside La Roche-Posay, anua, AESTURA, it Cosmetics and SK-II.

Nykaa Beauty's Global Store reported more than 45 global brands and 60% GMV growth year on year, compared with 25% GMV growth for the overall Beauty business in Q2FY27. Korean Beauty brands via the Global Store delivered 2.5 times GMV versus the prior year, while their share of Nykaa Beauty's Korean Beauty business increased to 34% from 23%. The format also distributed 17 luxury brands online and through more than 250 stores, of which eight were exclusive to Nykaa Beauty.

Nykaa Now is Nykaa Beauty's faster-delivery channel. It moved from three cities in Q1FY26 to 15 cities in Q2FY27 and is planned to operate in more than 25 cities by the end of FY27. The service states delivery within 30 to 60 minutes and carries more than 1,000 marquee brands, with stock-keeping unit depth stated as twice that of quick commerce.

The channel's presentation positions its premium selection around a reported AOV three times that of beauty and personal care in quick commerce. Nykaa Now shoppers are described as having higher frequency and wider cart depth, with frequency of purchase about 15% higher than platform customers. This rollout accompanies Nykaa Beauty's physical network of 338 stores and the 330-plus Beauty brands added during the last year.

Conclusion

The Q2FY27 figures show that Nykaa Beauty's higher customer activity, expanding store base and product assortment coincided with greater operating profit. MAUV rose 30% to 54.1 million, the store network grew to 338 locations, and the EBITDA margin reached 10.5% of NSV as GMV increased 25%.

The next disclosed milestone is Nykaa Now's planned expansion from 15 cities in Q2FY27 to more than 25 cities by FY27-end. Management's presentation also identifies the 73 stores added over the preceding year and the 330-plus Beauty brands added in the last year as operating areas whose contribution to traffic, order value and margin can be monitored.