Nykaa share price slumps over 9% despite promising Q4 FY2025 revenue growth

Nykaa share price slumped over 9% during Monday's trading session despite the omnichannel beauty and personal care brand reported sustained growth momentum in Q4 FY2025, with consolidated net revenue growth anticipated to be in the low to mid-twenties year-over-year. As a result, Nykaa's revenue growth for the entire financial year FY2025 is projected to reach similar levels in the mid-twenties, signifying steady growth across all quarters of FY2025.

According to the exchange filing, the growth in gross merchandise value (GMV) for the beauty sector is projected to significantly outperform the industry, reaching the low thirties.

Key factors contributing to this exceptional growth include ongoing investments in customer acquisition made over recent quarters, resulting in steady increases in order volume; robust retail performance bolstered by same-store sales growth (SSSG); and the accelerated expansion of the retail network, which saw the addition of 19 stores in Q4 FY2025.

Nykaa share price slumped over 9% during Monday's trading session despite the omnichannel beauty and personal care brand reported sustained growth momentum in Q4 FY2025, with consolidated net revenue growth anticipated to be in the low to mid-twenties year-over-year. As a result, Nykaa's revenue growth for the entire financial year FY2025 is projected to reach similar levels in the mid-twenties, signifying steady growth across all quarters of FY2025.

According to the exchange filing, the growth in gross merchandise value (GMV) for the beauty sector is projected to significantly outperform the industry, reaching the low thirties.

Key factors contributing to this exceptional growth include ongoing investments in customer acquisition made over recent quarters, resulting in steady increases in order volume; robust retail performance bolstered by same-store sales growth (SSSG); and the accelerated expansion of the retail network, which saw the addition of 19 stores in Q4 FY2025.

Moreover, the House of Nykaa is experiencing growing success, driven by the strong performance of both its homegrown and acquired brands.

The company reported in an exchange filing that Nykaa’s Beauty segment has continued its strong performance from earlier quarters, achieving net revenue growth in the mid-twenties. The growth of GMV for the fashion segment is anticipated to be in the high teens, with an improvement in the core platform business compared to previous periods.

However, net revenue growth is projected to be lower due to the underwhelming performance of Nykaa Fashion's owned brands and a decrease in content-related activities in Q4 FY2025, which usually peaks during the third quarter.

Nykaa share price today

Nykaa share price today opened at an intraday low of ₹160.05 apiece on the BSE, the stock touched an intraday high of ₹173.90 per share. Rajesh Bhosale, Equity Technical and Derivative Analyst at Angel One, explained that last week the Nykaa share prices failed to cross 200 DSMA and today we are seeing selling along with the broader markets. 160 - 165 is a strong support whereas 185 is recent high and 200 DSMA only beyond which uptrend will resume.

Further, Anshul Jain, Head of Research at Lakshmishree Investment and Securities, stated that Nykaa has corrected 31% in 18 weeks and is now forming a 21-week bullish base on weekly charts—typically a sign of accumulation. However, for this structure to turn decisively bullish, the stock must break and sustain above the 180 level.

“A breakout above this point could trigger an upside move toward the 210 zone. Until then, preemptive buying is not advised, as the stock remains range-bound. Wait for confirmation before entering for a higher probability trade,” said Jain.

Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.