Nykaa’s Q2 marketing and S&D spend rises 24% to Rs 457 crore

Nykaa to acquire 82% equity stake in Namrata Soni-founded premium makeup brand for up to Rs 33 crore

by e4m Staff
Published: Nov 5, 2026 11:20 AM | 2 min read

FSN E-Commerce Ventures, the parent company of Nykaa, reported a 24% year-on-year increase in consolidated marketing and selling expenses to Rs 457 crore in Q2 FY27, while these costs represented 15.2% of revenue, down from 15.7% in Q2 FY26.
Nykaa's revenue from operations grew 28% year-on-year to Rs 3,006 crore, with consolidated profit after tax surging 207% to Rs 101 crore.
The Beauty segment's marketing expenses rose to Rs 330 crore, while Fashion segment expenses increased to Rs 116 crore; however, the share of these costs in net sales value decreased in both segments.
Nykaa's board approved the acquisition of an 82% stake in Simply Nam Beauty Private Limited for up to Rs 33 crore, aiming to enhance its product development and retail capabilities.

FSN E-Commerce Ventures, the parent company of Nykaa, reported a 24% year-on-year rise in consolidated marketing and selling and distribution (S&D) expenses to Rs 457 crore in Q2 FY27, up from Rs 368 crore in the corresponding quarter last year.

Despite the increase in absolute expenditure, marketing and S&D costs accounted for 15.2% of revenue from operations during the quarter, lower than 15.7% in Q2 FY26. Sequentially, the outlay rose 11% from Rs 412 crore in Q1 FY27.

Nykaa reported a 28% year-on-year growth in revenue from operations to Rs 3,006 crore, compared with Rs 2,346 crore in the year-ago quarter. Consolidated profit after tax (PAT) surged 207% to Rs 101 crore from Rs 33 crore.

The company said improved productivity in performance marketing across its Beauty and Fashion platforms, along with higher productivity among business development executives in its Superstore business, contributed to better marketing efficiency.

On a segmental basis, Nykaa's Beauty business incurred marketing and S&D expenses of Rs 330 crore in Q2 FY27, against Rs 260 crore in Q2 FY26. As a proportion of net sales value (NSV), the expenditure stood at 13%, marginally below the 13.1% reported a year ago.

In Fashion, the corresponding expenses increased to Rs 116 crore from Rs 93 crore. However, the share of marketing and S&D spending in NSV fell to 22.7% from 26.9% in the year-ago quarter.

The Beauty segment recorded an NSV of Rs 2,536 crore, marking 28% year-on-year growth, while Fashion NSV rose 47% to Rs 509 crore.

At the consolidated level, EBITDA grew 65% year-on-year to Rs 263 crore in Q2 FY27, compared with Rs 159 crore in the corresponding quarter last year. EBITDA margin also expanded to 8.7% from 6.8%.

Separately, Nykaa's board has approved the acquisition of an 82% equity stake in Simply Nam Beauty Private Limited for a consideration of up to Rs 33 crore.

The transaction will give Nykaa majority ownership of the premium makeup brand founded by Namrata Soni, who will continue to hold an 18% stake. Soni will also assume the roles of co-founder and chief product officer.

Through the acquisition, Nykaa intends to bring together its distribution infrastructure and omnichannel retail reach with Simply Nam's product development capabilities and community-led approach to beauty.