Honasa Consumer posts 6% growth in Q3FY25, Ramps up Ad spend

Honasa Consumer Ltd., India’s leading beauty and personal care House of Brands, announced its financial results for the quarter ended December 31, 2024.

“In Q3FY25, we remained committed to long-term growth, advancing the strategic implementation of Project Neev to strengthen our offline distribution through direct distributors in the top 50 cities. With continuous progress in this journey, our revenue for Q3FY25 stood at ₹518 Cr with 6.0% YoY growth and an EBITDA margin of 5.0%.

Mamaearth continued to expand its market share and household penetration as we refine our playbooks to shape its future growth trajectory. Our emerging brands - The Derma Co., Aqualogica, BBlunt, and Dr. Sheth’s - delivered 30%+ YTD YoY growth. Additionally, our key categories (face wash, shampoo, serums, moisturizer, sun care, and baby care) saw ~18% growth in 9MFY25. We are continuing to build in these categories and aim to gain significant share in the next 3-5 years.

As we scale, our vision remains centered on driving disruptive innovation, deepening offline penetration, and delivering unique value propositions to consumers. We are shaping Honasa to become a house of brands that will not only lead today but also define the future of India’s beauty and personal care landscape,” said Varun Alagh, Chairman and CEO & Co-founder, Honasa Consumer Limited

Key Highlights:

1. Q3FY25 revenue stood at ₹518 Cr, reflecting 6.0% YoY growth, signaling growth momentum.

2. For 9MFY25, revenue reached ₹1,533 Cr, 5.8% YoY growth, while revenue when adjusted for onetime inventory correction in Q2FY25 stood at ₹1,596 Cr, 10.2% YoY growth

3. EBITDA margin for Q3FY25 stood at 5.0% and Profit After Tax (PAT) recorded at ₹26 Cr.

4. EBITDA margin for 9MFY25 stood at 2.7%. Adjusted for one-time inventory correction in Q2FY25, 9M EBITDA Margin stood at 5.9%.

5. Mamaearth grew in market share and household penetration. The brand reached 2,16,814 FMCG retail outlets in India as of Dec’24, increasing distribution by 22% YoY, as per NielsenIQ

6. Mamaearth face wash gained +114 bps and shampoo gained +20bps in value market share YoY, reflecting strong brand equity as per NielsenIQ

7. Mamaearth is perceived as #1 brand in online and #3 in offline in the face wash category in terms of Brand Power/Equity according to Kantar's Brand Health Track

8. Under Project Neev, the company has successfully completed the appointment of Tier-1 distributors in all the top 50 cities.

9. The Derma Co., Aqualogica, BBlunt, and Dr. Sheth’s maintained strong momentum, delivering 30%+ YTD YoY growth, reinforcing their contribution to overall business growth.

10. Focus categories - face wash, shampoo, serum, moisturizer, sun care, and baby care - grew ~18% in 9MFY25 (adjusted for one-time inventory correction in Q2FY25)

11. Newer channels like Quick-commerce continue to perform well growing 200%+ YoY in 9MFY25.

Also Read: Amit Singh joins Honasa Consumer Ltd. as Brand Lead