Honasa Consumer shares jump 7% as Q2 operating update points to strong growth
Honasa Consumer expects NSV (net sales value) growth in the early thirties year-on-year, supported by broad-based traction across its key categories and brands. Its largest brand, Mamaearth, is expected to report high-teens YoY NSV growth, driven by improving brand affinity and a wider offline presence.
Meanwhile, its younger brands are expected to accelerate growth to around the mid-forties YoY, reflecting continued strong traction.
The company said offline channels continue to lead growth, with both General Trade and Modern Trade expected to post strong performance, supported by deeper direct distribution and improved point-of-sale execution. Online sales are also expected to maintain their growth momentum.
On the profitability front, Honasa Consumer expects to maintain its focus on improving EBITDA margins, with the business likely to deliver an early double-digit operating margin in Q2 FY27, along with strong year-on-year improvement.
Honasa Consumer Disclaimer: The operating update is provisional and subject to limited review by the company’s statutory auditors. Honasa Consumer said the disclosure is voluntary and does not constitute financial results or earnings guidance. The growth figures are presented on a year-on-year basis, and actual results may differ materially from the forward-looking statements.
Share price, valuation and technical indicators
Honasa Consumer shares have gained around 60% over the past year. The company currently has a market capitalisation of Rs 14,638 crore, while its 52-week high stands at Rs 509.80.On the valuation front, Honasa Consumer trades at a price-to-earnings (P/E) ratio of 57.92 and a price-to-book (P/B) ratio of 10.19.
According to Trendlyne’s technical data, the stock is currently trading above all eight simple moving averages (SMAs), indicating a strong technical setup.
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