Revenue from operations for Q3FY26 stood at Rs 602 crore, up 16% from Rs 518 crore in the year-ago quarter. On a sequential basis, profit rose 28% from Rs 39 crore in Q2, while revenue grew 12% quarter-on-quarter (QoQ) from Rs 538 crore.
On a like-for-like (LFL) basis, revenue from operations came in at Rs 630 crore, marking a 22% YoY increase and the highest-ever quarterly revenue reported by the company, according to its exchange filing.
During the year ended March 31, 2025, the company implemented Project ‘Neev’, transitioning to a direct distribution model across the top 50 cities. As part of the shift, the super-stockist layer and certain direct distributors were discontinued and replaced with higher-quality Tier 1 distributors to strengthen retail servicing.
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Following the 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 scale, delivering growth of over 25%. The Derma Co. maintained strong momentum with a double-digit EBITDA profile while expanding efficiently.Offline execution improved with a sharper focus on the top 100 towns. Direct outlet coverage crossed 1 lakh outlets, and total distribution expanded more than 25% YoY to 2.7 lakh outlets.
The company also continued to invest in product innovation, with Mamaearth Rice Face Wash and BBlunt Intense Moisture Shampoo performing strongly against national and international competition.
Commenting on the performance, CIO & Co-founder Ghazal Alagh said innovation and re-innovation remain central to the company’s brand-building strategy. She noted that strong consumer response to new products reinforces the focus on product superiority, while the company continues to strengthen its fundamentals, invest in science-led innovation, and drive sustainable long-term growth.
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