Honasa Consumer Ltd, the parent firm of D2C brand MamaEarth, has recorded a marginal growth in scale and crossed Rs 500 crore revenue mark during the second quarter of FY24.
The company’s revenue from operations went up 6.8% to Rs 496 crore during the quarter ending September 2023 (Q2 FY24) as compared to Rs 464.5 crore in first quarter (Q1) of the same fiscal, according to the company’s unaudited consolidated quarterly report published on the National Stock Exchange.
Besides its operating income, Honasa also earned Rs 7.08 crore worth of non-operating income (interest and gain on financial assets) during Q2 FY24, taking the overall revenue to Rs 503.08 crore.
When compared to the same quarter of the previous financial year (Q2 FY23), its revenue from operations surged 20.8% from Rs 410.5 crore.
Cost of materials (after adjusting changes in inventories) formed 32.6% of the total expenses and stood at Rs 151.5 crore in the second quarter of FY24 whereas employee benefits expenses were registered at Rs 37.1 crore.
The company’s overall expenses increased only 4.7% to Rs 464 crore in Q2 from Rs 443 crore in Q1 FY24.
At the end, Honasa’s bottomline improved as the company’s profits spiked over 19% to Rs 29.44 crore during the quarter (Q2 FY24) against Rs 24.71crore in Q1 of FY24.
Compared to the same quarter of the previous year (Q2 FY23), the company’s profits soared nearly 94% from Rs 15.2 crore.
On a unit level, the Varun and Ghazal Alagh-led company spent Re 0.93 to earn a rupee of operating income during the second quarter of FY24.
MamaEarth’s parent ended FY23 with 58.3% growth in operating scale to Rs 1,493 crore from Rs 943 crore in FY22. The company’s profits declined by 71.4% to Rs 4 crore in FY23 (excluding impairment loss on goodwill and other intangible assets of Rs 154.6 crore). During FY22, the company recorded profits of Rs 14 crore.
Honasa Consumer Ltd made its entry in the public market in the first week of November this year with Rs 330 per share, 2% premium on the asked price (Rs 324 per share). Soon after its listing, the share price collapsed but later regained momentum and currently its price is roaming over Rs 350 per share.
