Honasa Consumer Q1 FY27 Results (NSE: HONASA)
Signal: Margin expansion
The read
The operating inflection continued: EBITDA rose 90.4% YoY on 27.0% revenue growth and EBITDA margin reached 17.6%, up 960bps YoY and marking the fourth consecutive quarter of margin expansion; brand breadth is also improving, with Focus Categories up 35%+, Younger Brands up 40%+ and both Mamaearth and Derma Co. contributing to scale.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹755.95 Cr | 27.0% | N/A |
| EBIT | ₹122.21 Cr | 107.6% | |
| Net profit | ₹90.25 Cr | 118.4% | |
| EPS | ₹2.77 | 118.1% | |
| EBIT margin | 17.6% |
P&L walk
Consolidated revenue was ₹755.95 Cr, +27.0% YoY, while EBITDA rose +90.4% and margin expanded to 17.6%; EBIT increased +107.6% and PAT +118.4%, with ₹22.51 Cr of other income not materially distorting earnings.
Segments
There is no reported segment table, but consolidated revenue growth of 27.0% exceeded standalone growth of 19.3% by 7.7 percentage points and consolidated PAT growth of 118.4% exceeded standalone growth of 111.3% by 7.1 percentage points, indicating subsidiary contribution.
Key positives
- Consolidated revenue of ₹755.95 Cr grew 27.0% YoY, the highest-ever quarterly level reported in the release.
- EBITDA of ₹132.7 Cr grew 90.4% YoY versus revenue growth of 27.0%, with margin expanding to 17.6% from 8.0% in Q1FY26.
- Focus Categories grew 35%+, while Younger Brands grew 40%+, reducing reliance on a single mature brand or category.
- The Derma Co. crossed ₹1,000 Cr NSV ARR and entered the teens EBITDA club; BTM Ventures crossed ₹150 Cr ARR and is expanding beyond South India.
- General Trade and Modern Trade both grew 40%+, with outlet coverage crossing approximately 3 lakh FMCG retail outlets.
Key concerns
- The press-release headline cites revenue of INR 785 Cr and EBITDA of INR 110 Cr, while the authoritative consolidated XBRL figures report revenue of ₹755.95 Cr and EBITDA of ₹132.7 Cr; this disclosure inconsistency requires reconciliation.
- Standalone revenue growth was 19.3% YoY versus consolidated growth of 27.0%, so part of the group's acceleration is outside the parent entity.
Research and educational content only. Not investment advice.