FSN E-Commerce Ventures shares fell even after delivering strong Q4 FY26 performance, with the stock trading at ₹248.50 following the earnings announcement. The market reaction contrasts sharply with the 4% rally seen on April 6 when the company first announced its Q4 results. According to CNBC TV18, brokerages remain divided on the stock's prospects, with 14 of 26 analysts giving it a 'buy' rating, six 'hold' and another six 'sell', while the average 12-month target price stands at ₹271.75, implying an upside of over 9% from the last traded price of ₹248.70. The stock has also delivered a strong 45% return over the past 12 months, highlighting the volatility around earnings expectations.
The company's retail network witnessed strong expansion during Q4 FY26 with a record 26 new store openings and 11 Kiehl's store integrations, marking its highest-ever quarterly additions. According to The Economic Times, the company's total store count stood at 313 as of March 31, 2026, significantly expanding from the previous quarter's 276 stores. This aggressive expansion strategy supports Nykaa's broader House of Nykaa portfolio strategy, which has seen the retailer actively pursuing strategic acquisitions including Nudge Wellness, Dot & Key skincare and clean beauty label Earth Rhythm. The company's omnichannel performance remained strong with the House of Nykaa continuing to grow faster and contributing meaningfully to overall performance.
Macquarie retained its 'outperform' rating with a target price of ₹210, noting that the company's pre-Q4 update points to steady performance in beauty and slightly better-than-expected traction in fashion. The brokerage expects consolidated GMV and revenue growth in the late twenties, with sequentially flat EBITDA margins in beauty and moderating losses in fashion. In contrast, Nomura maintains a more bullish stance with a 'buy' rating and target price of ₹305, expecting strong revenue momentum led by continued beauty strength and acceleration in fashion growth. BofA Securities maintains an 'underperform' rating with ₹220 target, citing GMV growth of 27-28% across beauty and fashion and overall revenue growth of around 29%. The brokerage expects fashion losses to narrow sharply to about ₹20 million in Q4 from ₹80 million in the previous quarter.
Beauty and fashion retailer Nykaa, owned by FSN E-Commerce Ventures, is in negotiations with actress Deepika Padukone's premium skincare brand 82°E to acquire a majority stake in the latter as it looks to bolster its House of Nykaa portfolio in an increasingly competitive market. According to people aware of the development, the potential deal hinges on Nykaa's market leadership position, cumulative beauty customer base of 42 million and ability to build on repeat orders and scale to help turn around the flagging 82°E brand. The executives didn't comment on the size of the expected deal. As per The Economic Times, Nykaa and Padukone already have an existing endorsement partnership, with the beauty platform announcing the actress as its global brand ambassador in September last year to front the brand's signature campaigns such as Pink Friday Sale and Nykaaland.
FSN E-Commerce Ventures Limited reported its highest revenue growth in 12 quarters for Q4 FY2026, with the company expecting consolidated net revenue expansion in the late twenties per cent range on a year-on-year basis. The retailer reported a 156% year-on-year increase in net profit to ₹68 crore for the quarter ended December 31, 2025, driven by strong demand and margin expansion, with consolidated revenue up 27% to ₹2,873 crore. According to CNBC TV18, Citi expects EBITDA margins to expand to 8.2% in Q4, supported by operating leverage, strong performance of owned brands, and advertising revenues. The fashion segment is experiencing a strong recovery with GMV growth expected in the high twenties and NSV projected to surge in the early forties during Q4 FY26, with the Pink Love Sale particularly successful contributing significantly to fashion net revenue growth. The segment is expected to move towards operational break-even, with marketing and distribution spends outpacing sales growth but accompanied by strong customer acquisition.
