The company’s revenue from operations stood at Rs 602 crore in Q3FY26, recording a 16% growth versus Rs 518 crore in the October-December period of FY26.
The bottom line grew by 28% sequentially versus Rs 39 crore in Q2FY26, while the topline witnessed a 12% quarter-on-quarter growth compared to Rs 538 crore.
However, Q3 revenue from operations on a like-for-like (LFL) basis stood at Rs 630 crore, recording an uptick of 22% YoY, marking the highest-ever quarterly revenue for the company, the company filing to the exchanges said.
During the year ended March 31, 2025, the Holding Company implemented Project ‘Neev’, under which it shifted to a direct distribution model across the top 50 cities. As part of this transition, the company discontinued the super stockist layer and certain direct distributors, replacing them with higher-quality Tier 1 distributors to service retailers.
As a result of this restructuring, the company provided for sales returns of Rs 63.51 crore during FY25, with a corresponding inventory/right-to-return asset of Rs 11 crore. As of December 31, 2025, the outstanding provision for sales returns related to this transition stood at Rs 3.41 million, with no remaining inventory or right-to-return asset.Younger brands continued to build scale, recording over 25% growth. The Derma Co. sustained strong momentum, maintaining a double-digit EBITDA profile while scaling efficiently. Offline execution continued to improve with a focus on the top 100 towns. Direct outlet coverage crossed 1 lakh outlets, while total distribution expanded over 25% YoY to 2.7 lakh outlets.Also read: HAL Q3 Results: Profit climbs 30% YoY to Rs 1,867 crore; co declares Rs 35/share dividend
Continued investment in product re-innovation, with Mamaearth Rice Face Wash and BBlunt Intense Moisture Shampoo performing strongly against leading national and international competition.
Management Commentary
Commenting on Q3 performance, CIO & Co-founder Ghazal Alagh said innovation and re-innovation remain at the heart of how the company builds its brands at Honasa. “Products like Mamaearth Rice Face Wash and BBlunt Intense Moisture Shampoo performing strongly against leading national and international benchmarks reaffirm our belief that consumers reward genuine product superiority. As we move ahead, our focus remains clear- strengthen fundamentals, invest in better science and sharper execution, and continue building Honasa as a House of Purposeful Brands anchored in sustainable, long-term growth,” Alagh said.
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