Mama Earth parent company’s shares soar up to 17% on strong volume, revenue growth in Q4

Honasa Consumer shares in Friday’s trade climbed up to 17 per cent at the day’s high despite operationally weak performance in the final quarter of FY2025. At around 11:19 am, shares of the company traded higher by 16.5 per cent or Rs 45.5 at Rs 320.95 per share on the BSE.

Honasa Consumer Q4 results

During the March quarter, the company’s revenue soared 13.3 per cent on-year, with revenue growth much higher than the peers. Net profit, however, declined 18.1 per cent during the review period to Rs  24.98 crore. 

On the operational front too, the company’s EBITDA declined 18.5 per cent on-year, while margin fell to 5 per cent from 7 per cent in the year-ago period.

Underlying volume growth at the Mama Earth owner has been reported at 21.2 per cent. Furthermore, core products for Mama Earth logged double-digit.

What’s pushing Honasa Consumer stock higher?

The company came up with a strong guidance. Also, the Derma Company crossed 100 crore in average revenue run (ARR) rate from the offline channel. BBlunt, Dr Sheth’s, Aqualogica segments recorded 30 per cent growth.Strong inventory management and negative working capital cycle also helped.

FY26 Guidance:

The company is targeting double-digit topline growth in FY26, with 250 bps improvement targeted in EBITDA margin. Also, the company expects to improve its A&P spend. Direct distribution outlets targeted to increase from 1 lakh to 1.5 lakh. Also, the company is targeting 85-90 per cent revenue from focus categories in the next 2-3 years.

Brokerage on Honasa Consumer

Jefferies on Honasa (CMP:275) 
Maintain Buy, Target price raise to 400 from 320 
 
Goldman Sachs on Honasa (CMP:275) 
Maintain Neutral, Target price raise to 275 from 250 
 
JP Morgan on Honasa (CMP:275) 
Maintain Underweight, Target price 197 

Honasa Consumer share price performance

In the last 3 months, the stock has gained over 43 per cent, while its year-to-date return is at 26 per cent.