India's Nykaa rises after qtrly profit surge

Fsn E-Commerce Ventures

07/11/2023 04:32

** Shares of  FSN E-Commerce Ventures  FSNE.NS , parent of  
cosmetics-to-fashion retailer Nykaa, rise as much as 5.1% to
154.8 rupees, highest since Sept 28
    ** Co on Monday reported 42% rise in Q2 profit, while
revenue grew 22.4%, helped by performance at its mainstay beauty
and personal care (BPC) segment.
    ** Axis Capital analysts flagged that Nykaa's Q2 print was
robust in context of discretionary slowdown and delayed festive
season
    ** While growth is stable, performance is slightly 
underwhelming at BPC segment as gross margins contracted, Nuvama
analysts said in a note
    ** Rising  competition and increasing debt are overhangs on
longer-term visibility - Nuvama
    ** Shares down 3% YTD

 (Reporting by Nallur Sethuraman in Bengaluru)
 ((Sethuraman.NR@thomsonreuters.com; (+91 8061822737); Reuters
Messaging: nallur.sethuraman.thomsonreuters.com@reuters.net))