The Man Company’s revenue declines to Rs 154 Cr in FY25; slips into losses

Emami-owned men’s grooming and personal care brand, The Man Company, saw its scale decline in the fiscal year ending March 2025. At the same time, the company slipped into losses.

The company’s revenue from operations declined by 16% to Rs 154 crore in FY25 from Rs 183 crore in FY24, according to its financial statements sourced from the Registrar of Companies (RoC).

The Man Company manufactures and retails grooming products in the skin and hair care verticals. The sale of these products accounted for 97% of the revenue, while the rest of the income came from shipping charges.

Advertising cost emerged as the largest expense for the company, which rose over threefold to Rs 43 crore in FY25 from Rs 14 crore in FY24. Other major cost heads also expanded sharply, with discounts which increased to Rs 18 crore, employee benefit expenses rose to Rs 10.5 crore, and the cost of materials nearly doubled to Rs 29.3 crore in FY25.

Depreciation also increased to Rs 6.2 crore during the year. However, other expenses fell significantly to Rs 70 crore in FY25. Overall, The Man Company’s total expenses remained flat at Rs 177 crore in FY25, the same as the previous year.

The decline in scale led the company into the red and recorded a loss of Rs 22 crore in FY25 as compared to a profit of Rs 9 crore in FY24. Its EBITDA margin fell to negative 9.74% from 6.78% a year earlier.

On a unit basis, the company spent Rs 1.15 to earn a rupee during the fiscal year. The Gurugram-based firm reported cash and bank balances of Rs 0.3 crore, while its current assets stood at Rs 68 crore in FY25.

FMCG company Emami acquired The Man Company (TMC) for about Rs 400 crore, which was Emami's first D2C acquisition.

The Man Company's competitors, Beardo and Ustraa, showed varied financial performances in FY25. Beardo's operating revenue increased to Rs 214 crore in FY25 from Rs 173 crore in FY24, with its PAT rising by 258% to Rs 13 crore. Conversely, Ustraa's revenue from operations saw a 22% decline, falling to Rs 73 crore in FY25. Despite the revenue drop, Ustraa narrowed its losses by 72% to Rs 14 crore in FY25.

The Man Company results continue to underline the challenges of making acquisitions work in the D2C space. Acquiring firms chasing the kind of growth on steroids many D2C firms show till the acquisition are usually disappointed, as they grapple with many issues that can crop up in a relatively unstructured environment. On the other hand, a heavy handed approach post acquisition can also kill the animal spirits that helped these startups move and adapt fast to changing market conditions. And keep in mind that in D2C, these include advertising and promotion strategies in a big way. We understand that this is the part that comes under the scanner earliest, and can frequently lead to friction as well. For now, there is little doubt that the Man Company has lost some of its vitality post acquisition.