Honasa Consumer, the company behind Mamaearth, reported good growth in the last quarter of FY25. Their total sales (revenue) increased by 13% compared to the same time last year, reaching ₹534 crore.
The company earned ₹377 crore as gross profit, which is 14% higher than last year. This also improved their gross margin (the percentage of money they keep after costs) slightly to 70.7%, thanks to selling better products and running operations more efficiently.
However, the company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) dropped by 18.2% to ₹27 crore. This means their profit margin before those costs fell from 7.0% to 5.1%.
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Advertising costs went up by 15%, reaching ₹184 crore, which is now about one-third (34.4%) of the company’s revenue.
Looking at the overall profit before tax (PBT), it was ₹32 crore, down 18% compared to last year. Net profit after tax (PAT) also decreased by 17% to ₹25 crore, and profit margins shrank.
Mamaearth’s new strategy is starting to show results, with strong double-digit growth in important product categories both online and in modern retail stores. The brand is gaining market share and is now among the top 5 in face wash products. They also expanded their retail stores by 26%, now available in 2.36 lakh outlets.
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Another brand under Honasa, The Derma Co., achieved over ₹100 crore in yearly offline sales and continues to do well online.
The company’s direct distribution to stores is growing quickly, with over 1 lakh unique stores buying their products in FY25. The share of sales through direct distributors increased from 38% last year to 71% in the last quarter.
For the full year FY25, Honasa’s net profit dropped 34.23% to ₹73 crore, while revenue grew 8% to ₹2,067 crore. Gross profit went up 9% to ₹1,454 crore, and gross profit margin slightly improved to 70.3%.
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The company’s net cash from its regular business operations was ₹102.18 crore in FY25, which is lower than ₹235.33 crore in FY24.
Honasa Consumer is India’s biggest digital-first company in beauty and personal care, with six different brands under its umbrella.
