Revenue for the quarter increased by 16.5% on a year-on-year basis to ₹538 crore. Adjusted for the revenue recognition with Flipkart, Honasa said that the growth would be at 22.5%.
Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) stood at a positive ₹47.5 crore compared to an EBITDA loss of ₹30.7 crore.A near-200 basis points expansion in gross margins and a decline in ad spends to 33.5% of topline from 39.5% last year contributed to the better EBITDA performance.
MamaEarth saw double-digit growth in e-commerce and modern trade, while growth in the GT Derma was in single digits with an Annual Run Rate of ₹750 crore.The company has also increased its store reach by 20% from last year to over 2.5 lakh stores. Distribution outlets have increased by 35% year-on-year in the first half of the financial year.
Honasa also acquired a 25% stake in oral care brand Couch Commerce for ₹10 crore. Couch Commerce has an Annual Run Rate of ₹7 crore.
CNBC-TV18 Access had written about Honasa Consumer just a couple of weeks ago, on October 27, as to whether the company is poised for a turnaround. You can read more on that here.
Jefferies has maintained his “buy” rating on Honasa with a price target of ₹450, stating that the business is now poised for strong growth in the coming quarters. It added that MamaEarth is back on the growth trajectory and its offline strategy is delivering results.
On the flip side, HSBC maintained its “reduce” rating with a price target of ₹264, stating that the company is still a low-double-digit grower and hence it maintains its 40 times target price-to-earnings multiple for Honasa, even as it raised its profit estimates by 6% for the next financial year and by 5% for financial year 2028 to account for higher margins.
Shares of Honasa Consumer are trading 6.2% higher on Thursday at ₹299.6. The stock is still trading below its IPO price of ₹324.
First Published: Nov 13, 2025 9:57 AM IS
