2025-06-02-Bernstein-FSN电子商务风险投资有限公司（NYKAA）_Nykaa2025财年第四季度_强劲的美容业务势头被时尚业务利润率所抵消_18页_583kb

Company Overview: This report analyzes Nykaa's FY25 Q4 performance by Bernstein Research, with a Market-Perform rating and price target of INR 170.

Key Financial Performance:

• Overall GMV grew 27% YoY to INR 41.02 Bn, with BPC (Beauty, Personal Care) driving strong results at 31% YoY GMV growth (down 9.4% QoQ).
• Fashion segment showed 18% YoY GMV growth but was hampered by margin pressures, reaching -10.4% EBITDA margin.
• Revenue rose 24% YoY, impacting overall margins positively due to higher premium product sales.

Segment Details:

• Beauty segment maintained momentum with 31% YoY GMV growth, led by international brands and effective marketing.
• Fashion segment faced margin challenges from elevated marketing and fulfillment costs, with growing AOV but weakened unit economics.

Margin and Financials:

• Gross margin improved 40 bps QoQ to 44.1%, driven by cost efficiencies and premium product demand.
• EBITDA margin expanded 30 bps QoQ to 6.5%, while Fashion EBITDA margins remained weak at -10.4%. BPC unit economics showed improvement with 23% contribution margin, while Fashion deteriorated to 3.2%.

Valuation:

• Current valuation at ~65x EV/EBITDA is considered expensive due to leadership in online beauty, but the price target of INR 170 supports Market-Perform rating.
• Upside risks include market share gains, but downside risks involve competitive pressures and regulatory issues.

Investment Implications:

• Maintain Market-Perform with an upside of 12.4%. The report highlights potential for 50% revenue CAGR in a best-case scenario, contingent on fashion segment improvement and cost management.