 "Mamaearth")
Skincare firm Mamaearth's parent Honasa Consumer posted a profit in the fourth quarter as consumers stocked up on beauty and personal care products, with retailers doling out offers and discounts.
The company, which sells personal care and makeup products, reported a consolidated net profit after tax of Rs 30.48 crore ($3.7 million) for the three months ended March 31, compared with a loss of Rs 162 crore a year earlier.
End-of-season sales drove volumes, while high-income urban consumers stocked in on moisturisers and shampoos, further boosting top-line growth, said analysts.
The company, which also sells products of brands like The Derma Co and Aqualogica, posted a near 22% rise in revenue from operations to Rs 471 crore.
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Indian consumers have been swayed by offers and discounts on products as inflation continued to hurt discretionary spending.
Honasa's earnings before interest, tax, depreciation and tax (EBITDA) margin expanded to 7% from a loss of 0.8% a year earlier.
The company said it planned to implement cost efficiency by transitioning to direct distribution, with a focus on mature fast moving consumer goods distributors.
Shares of Honasa closed 1.9% lower ahead of the results.
They fell 8.7% in the January-March quarter.
