HONASA
New to Zerodha? Sign-up for free.
New to Zerodha? Sign-up for free.
-
Share Price
-
Financials
-
Revenue mix
-
Shareholdings
-
Peers
-
Forensics
- 5D
- 1M
- 6M
- YTD
- 1Y
- 5Y
- MAX
This data is currently unavailable for this company.
-
Summary
-
Profit & Loss
-
Balance sheet
-
Cashflow
This data is currently unavailable for this company.
| (In Cr.) |
|---|
| (In Cr.) | ||||
|---|---|---|---|---|
|
This data is currently unavailable for this company. |
| (In %) |
|---|
| (In Cr.) |
|---|
| Financial Year (In Cr.) |
|---|
-
Product wise
-
Location wise
Revenue Mix
This data is currently unavailable for this company.
Revenue Mix
This data is currently unavailable for this company.
Recent events
-
News
-
Corporate Actions
INSIGHT-Meet the AI chatbots replacing India's call-center workers
Repeats story published during Asian hours; no changes to text
India bets AI will create enough new opportunities to offset job losses
AI tools supplant jobs built on routine tasks in call centers, customer service
IT training centers shift focus to AI skills amid rising demand
LimeChat says AI agents enable firms to cut headcount in customer-service roles
By Munsif Vengattil and Aditya Kalra
BENGALURU, Oct 15 (Reuters) - At a startup office in this Indian city, developers are fine-tuning artificial-intelligence chatbots that talk and message like humans.
The company, LimeChat, has an audacious goal: to make customer-service jobs almost obsolete. It says its generative AI agents enable clients to slash by 80% the number of workers needed to handle 10,000 monthly queries.
"Once you hire a LimeChat agent, you never have to hire again," Nikhil Gupta, its 28-year-old co-founder, told Reuters.
Cheap labor and English proficiency helped make India the world's back office — sometimes at the expense of workers elsewhere. Now, AI-powered systems are subsuming jobs done by headset-wearing graduates in technical support, customer care and data management, sparking a scramble to adapt, a Reuters examination found.
That's driving business for AI startups that help companies slash staffing costs and scale operations — even though many consumers still prefer to deal with a person.
This account of the disruptive changes transforming India's $283 billion IT sector is based on interviews with 30 people, including industry executives, recruiters, workers and current and former government officials. Reuters also visited two AI startups and tested voice and text chatbots that handle increasingly sophisticated customer interactions in human-like ways.
Rather than pump the brakes as the technology threatens jobs built on routine tasks, the country is accelerating, wagering that a let-it-rip approach will create enough new opportunities to absorb those displaced, Reuters found. The outcome of India's gamble carries weight far beyond its borders — a test case for whether embracing AI-driven disruption can elevate a developing economy or render it a cautionary tale.
The global conversational AI market is growing 24% a year and should reach $41 billion by 2030, consultancy Grand View Research estimates.
India — which relies on IT for 7.5% of its GDP — is leaning in. In a February speech, Prime Minister Narendra Modi said "work does not disappear due to technology. Its nature changes and new types of jobs are created."
Not everyone shares Modi's confidence in India's preparedness. Santosh Mehrotra, a former Indian official and visiting professor at the University of Bath's Centre for Development Studies, criticized the government for a lack of urgency in assessing AI's effects on India's young workforce. "There's no gameplan," he said.
Business process management employs 1.65 million workers in call centers, payroll, and data handling in India. Hiring has plummeted due to increased automation and digitalization, despite rising demand for AI coordinators and process analysts, said Neeti Sharma, CEO of staffing firm TeamLease Digital.
Net headcount in the segment, which represents one-fifth of IT output, grew by fewer than 17,000 workers in each of the past two years, down from 130,000 in 2022-2023 and 177,000 in 2021-2022, TeamLease Digital figures show.
Reuters spoke to three current and five former customer-service workers, who described increasing job insecurity and integration of AI, including tools that suggest responses and bots that handle nearly all routine queries autonomously.
Megha S., 32, was earning $10,000 a year at a Bengaluru-based software solutions provider. She said she was laid off last month, just before India's festive season, as the company moved to implement AI tools to review the quality of sales calls.
"I was told I am the first one who has been replaced by AI," said Megha, who spoke on the condition that her full name and former employer not be identified. "I've not told my parents."
Sumita Dawra, a former labor ministry secretary who oversaw an Indian government taskforce on AI's impact on the workforce before retiring in March, said while the technology offered productivity gains that would lead to new jobs, India could consider stronger social security measures, such as unemployment benefits, to help those displaced during the transition.
However, a senior Indian official told Reuters the government believed AI would ultimately have little impact on overall employment. India's IT and labor ministries, and Modi's office, didn't respond to requests for comment.
AUTOMATION GOLD RUSH
Besides AI, factors clouding the outlook for India's IT sector include U.S. tariffs; a proposal by a U.S. lawmaker for a 25% tax on firms using foreign outsourcing services; and President Trump's $100,000 fee on new H-1B visas, which are widely used by tech firms to sponsor Indian workers.
Investment bank Jefferies predicted in September that India's call centers would face a revenue hit of 50% — and around 35% for other back-office functions — from AI adoption over the next five years.
That would spell near-term job losses in India, which accounts for 52% of the global outsourcing market.
"The biggest impact is going to be on young students coming out of college," said Pramod Bhasin, who in the 1990s established India's first call center with 18 employees for GE Capital, where workstations were partitioned by saris strung from the ceiling.
In the longer run, India could transition from "back office" to the world's "AI factory" by capitalizing on demand for AI engineers and automation deployment, said Bhasin, who went on to found IT services firm Genpact.
One beneficiary of that demand is LimeChat, which Reuters visited in August. Gupta, the co-founder, said his developers and engineers have helped automate 5,000 jobs across India. The company's bots handle 70% of customer complaints for its clients, and it plans to achieve 90-95% within a year, he said.
"If you're giving us 100,000 rupees per month, you are automating the job of at least 15 agents," said Gupta. At that price — about $1,130 — the service costs roughly the same as three customer-care staff, he said.
LimeChat's sales soared to $1.5 million in 2024 from $79,000 two years earlier, regulatory disclosures show. Last year, the firm began integrating Microsoft's Azure language models and algorithms in a partnership to launch a new e-commerce chatbot.
Among Gupta's clients is Indian ayurvedic products firm Kapiva, which has deployed a LimeChat bot for customer interactions over WhatsApp.
Keying in a prompt — "What kind of diet should I have to reduce weight?" — yielded an AI meal-plan creator. A follow-up query in English and Hindi about how a slimming juice differs from another item was also answered, with the chatbot eventually sharing links to Kapiva products with a smiling emoji. Kapiva didn't respond to Reuters questions.
LimeChat's rivals include Reliance RELI.NS, the conglomerate chaired by Mukesh Ambani, which acquired Indian startup Haptik in 2019.
Haptik says it offers "AI agents that deliver human-like customer experiences" that cost $120 and can cut support costs by 30%. Revenue skyrocketed to almost $18 million last year from less than $1 million in 2020, disclosures show.
Haptik promoted a webinar in September by posing the question: "What if you had a full-time employee who never sleeps and costs just 10,000 rupees?"
"We are seeing a huge shift," Haptik product manager Suji Ravi said in the webinar, which Reuters reporters attended. "Brands are not investing in human agents and they want to deploy AI agents."
For LimeChat client Mamaearth, an Indian personal-care brand, the main attraction of AI chatbots is scalability, said Vipul Maheshwari, head of product and analytics at parent firm Honasa Consumer HONA.NS.
"Providing good customer support is make or break for us," he said. "But can we infinitely scale my customer support team? Absolutely not."
The chatbot used by Mamaearth could go beyond simple assistance like order tracking, and help users with queries such as recommending the right products during pregnancy or, in some cases, handle an agitated customer, Maheshwari said.
COFFEE WITH NEHA
The promise and perils of AI are evident at The Media Ant. The Bengaluru-based advertising agency cut 40% of its workforce to about 100 over the past year and vacated space in another building to save on rent, said founder Samir Chaudhary.
The firm eliminated 15 salespeople, replacing them with AI bots that identify leads and send emails to prospective customers, Chaudhary said. A six-member call center was replaced with a voice agent called Neha that speaks in near-flawless, Indian-accented English.
When a Reuters reporter asked Neha about advertising on YouTube, she sought details about the budget and target markets, noted the requirements, and ended the conversation cheerfully: "I will email you the details ... have a great day."
"Ask her out for a coffee and she will laugh it off," Chaudhary said.
Yet the race to embrace AI isn't always smooth for companies.
Take Sweden's Klarna. Chatbots helped the fintech firm cut thousands of jobs last year, but its CEO told Reuters in September the company is now "trying to course correct" and use the technology to improve products rather than reduce costs.
Chatbots have limitations. While most generic e-commerce-related queries posed by a Reuters reporter were handled well by LimeChat bots, some stumped them.
When LimeChat client Knya's bot was asked for proof of its claim that a million medical professionals trust its products, such as its stethoscopes, it replied: "I am sorry, I don't have enough information to answer your question." Knya didn't respond to a request for comment.
Customer surveys show chatbots are still disliked by many.
An August 2024 EY survey of 1,000 Indian consumers found 62% made purchases influenced by AI recommendations, compared with 30% globally. Yet, "the desire for a human connection remains strong," EY noted, with 78% preferring online platforms that provide human support.
LimeChat's Gupta, though, said well-trained AI agents could resolve queries faster than humans. He said many standard bots pass conversations to a human agent when they encounter angry customers: "You need a very small number of people to just handle negative experiences."
FROM JAVA TO AI
In the 1990s and 2000s, India's tech boom fueled rural-to-urban migration. Cities like Bengaluru became outsourcing hubs as domestic firms, including Tata Consultancy Services TCS.NS, Infosys INFY.NS and Wipro WIPR.NS, grew into global juggernauts.
That expansion trickled through to Ameerpet, a Hyderabad neighborhood where university graduates fill classrooms to learn IT skills and earn certifications for tech jobs.
Ameerpet's training centers traditionally offered courses in Microsoft Office and programming languages like Java. Visiting in April, Reuters found these centers are increasingly focused on AI training.
Outside one, Quality Thought, a banner featured a robot overlooking a globe with the letters "AI."
The center was offering a nine-month course in AI data science and prompt engineering for about $1,360, more than double the price of a traditional web-development program.
"Recruiters are asking for students with basic AI skills," staffer Priyanka Kandulapati said. "We are going to streamline our courses even further to suit the demand."
In a discussion with startup founders last month about the pace of change, venture capitalist Vinod Khosla, who co-founded Sun Microsystems, offered a stark view of the future for India.
"All IT services will be replaced in the next five years," he said. "It's going to be pretty chaotic."
On hold https://reut.rs/46tEiNq
(Reporting by Munsif Vengattil in Bengaluru and Aditya Kalra in New Delhi. Additional reporting by Haripriya Suresh and Rishika Sadam in Hyderabad, Jatindra Dash in Bhubaneswar, Saurabh Sharma in Lucknow, Sai Ishwarbharath B in Bengaluru, and Praveen Paramasivam in Chennai. Editing by David Crawshaw.)
Repeats story published during Asian hours; no changes to text
India bets AI will create enough new opportunities to offset job losses
AI tools supplant jobs built on routine tasks in call centers, customer service
IT training centers shift focus to AI skills amid rising demand
LimeChat says AI agents enable firms to cut headcount in customer-service roles
By Munsif Vengattil and Aditya Kalra
BENGALURU, Oct 15 (Reuters) - At a startup office in this Indian city, developers are fine-tuning artificial-intelligence chatbots that talk and message like humans.
The company, LimeChat, has an audacious goal: to make customer-service jobs almost obsolete. It says its generative AI agents enable clients to slash by 80% the number of workers needed to handle 10,000 monthly queries.
"Once you hire a LimeChat agent, you never have to hire again," Nikhil Gupta, its 28-year-old co-founder, told Reuters.
Cheap labor and English proficiency helped make India the world's back office — sometimes at the expense of workers elsewhere. Now, AI-powered systems are subsuming jobs done by headset-wearing graduates in technical support, customer care and data management, sparking a scramble to adapt, a Reuters examination found.
That's driving business for AI startups that help companies slash staffing costs and scale operations — even though many consumers still prefer to deal with a person.
This account of the disruptive changes transforming India's $283 billion IT sector is based on interviews with 30 people, including industry executives, recruiters, workers and current and former government officials. Reuters also visited two AI startups and tested voice and text chatbots that handle increasingly sophisticated customer interactions in human-like ways.
Rather than pump the brakes as the technology threatens jobs built on routine tasks, the country is accelerating, wagering that a let-it-rip approach will create enough new opportunities to absorb those displaced, Reuters found. The outcome of India's gamble carries weight far beyond its borders — a test case for whether embracing AI-driven disruption can elevate a developing economy or render it a cautionary tale.
The global conversational AI market is growing 24% a year and should reach $41 billion by 2030, consultancy Grand View Research estimates.
India — which relies on IT for 7.5% of its GDP — is leaning in. In a February speech, Prime Minister Narendra Modi said "work does not disappear due to technology. Its nature changes and new types of jobs are created."
Not everyone shares Modi's confidence in India's preparedness. Santosh Mehrotra, a former Indian official and visiting professor at the University of Bath's Centre for Development Studies, criticized the government for a lack of urgency in assessing AI's effects on India's young workforce. "There's no gameplan," he said.
Business process management employs 1.65 million workers in call centers, payroll, and data handling in India. Hiring has plummeted due to increased automation and digitalization, despite rising demand for AI coordinators and process analysts, said Neeti Sharma, CEO of staffing firm TeamLease Digital.
Net headcount in the segment, which represents one-fifth of IT output, grew by fewer than 17,000 workers in each of the past two years, down from 130,000 in 2022-2023 and 177,000 in 2021-2022, TeamLease Digital figures show.
Reuters spoke to three current and five former customer-service workers, who described increasing job insecurity and integration of AI, including tools that suggest responses and bots that handle nearly all routine queries autonomously.
Megha S., 32, was earning $10,000 a year at a Bengaluru-based software solutions provider. She said she was laid off last month, just before India's festive season, as the company moved to implement AI tools to review the quality of sales calls.
"I was told I am the first one who has been replaced by AI," said Megha, who spoke on the condition that her full name and former employer not be identified. "I've not told my parents."
Sumita Dawra, a former labor ministry secretary who oversaw an Indian government taskforce on AI's impact on the workforce before retiring in March, said while the technology offered productivity gains that would lead to new jobs, India could consider stronger social security measures, such as unemployment benefits, to help those displaced during the transition.
However, a senior Indian official told Reuters the government believed AI would ultimately have little impact on overall employment. India's IT and labor ministries, and Modi's office, didn't respond to requests for comment.
AUTOMATION GOLD RUSH
Besides AI, factors clouding the outlook for India's IT sector include U.S. tariffs; a proposal by a U.S. lawmaker for a 25% tax on firms using foreign outsourcing services; and President Trump's $100,000 fee on new H-1B visas, which are widely used by tech firms to sponsor Indian workers.
Investment bank Jefferies predicted in September that India's call centers would face a revenue hit of 50% — and around 35% for other back-office functions — from AI adoption over the next five years.
That would spell near-term job losses in India, which accounts for 52% of the global outsourcing market.
"The biggest impact is going to be on young students coming out of college," said Pramod Bhasin, who in the 1990s established India's first call center with 18 employees for GE Capital, where workstations were partitioned by saris strung from the ceiling.
In the longer run, India could transition from "back office" to the world's "AI factory" by capitalizing on demand for AI engineers and automation deployment, said Bhasin, who went on to found IT services firm Genpact.
One beneficiary of that demand is LimeChat, which Reuters visited in August. Gupta, the co-founder, said his developers and engineers have helped automate 5,000 jobs across India. The company's bots handle 70% of customer complaints for its clients, and it plans to achieve 90-95% within a year, he said.
"If you're giving us 100,000 rupees per month, you are automating the job of at least 15 agents," said Gupta. At that price — about $1,130 — the service costs roughly the same as three customer-care staff, he said.
LimeChat's sales soared to $1.5 million in 2024 from $79,000 two years earlier, regulatory disclosures show. Last year, the firm began integrating Microsoft's Azure language models and algorithms in a partnership to launch a new e-commerce chatbot.
Among Gupta's clients is Indian ayurvedic products firm Kapiva, which has deployed a LimeChat bot for customer interactions over WhatsApp.
Keying in a prompt — "What kind of diet should I have to reduce weight?" — yielded an AI meal-plan creator. A follow-up query in English and Hindi about how a slimming juice differs from another item was also answered, with the chatbot eventually sharing links to Kapiva products with a smiling emoji. Kapiva didn't respond to Reuters questions.
LimeChat's rivals include Reliance RELI.NS, the conglomerate chaired by Mukesh Ambani, which acquired Indian startup Haptik in 2019.
Haptik says it offers "AI agents that deliver human-like customer experiences" that cost $120 and can cut support costs by 30%. Revenue skyrocketed to almost $18 million last year from less than $1 million in 2020, disclosures show.
Haptik promoted a webinar in September by posing the question: "What if you had a full-time employee who never sleeps and costs just 10,000 rupees?"
"We are seeing a huge shift," Haptik product manager Suji Ravi said in the webinar, which Reuters reporters attended. "Brands are not investing in human agents and they want to deploy AI agents."
For LimeChat client Mamaearth, an Indian personal-care brand, the main attraction of AI chatbots is scalability, said Vipul Maheshwari, head of product and analytics at parent firm Honasa Consumer HONA.NS.
"Providing good customer support is make or break for us," he said. "But can we infinitely scale my customer support team? Absolutely not."
The chatbot used by Mamaearth could go beyond simple assistance like order tracking, and help users with queries such as recommending the right products during pregnancy or, in some cases, handle an agitated customer, Maheshwari said.
COFFEE WITH NEHA
The promise and perils of AI are evident at The Media Ant. The Bengaluru-based advertising agency cut 40% of its workforce to about 100 over the past year and vacated space in another building to save on rent, said founder Samir Chaudhary.
The firm eliminated 15 salespeople, replacing them with AI bots that identify leads and send emails to prospective customers, Chaudhary said. A six-member call center was replaced with a voice agent called Neha that speaks in near-flawless, Indian-accented English.
When a Reuters reporter asked Neha about advertising on YouTube, she sought details about the budget and target markets, noted the requirements, and ended the conversation cheerfully: "I will email you the details ... have a great day."
"Ask her out for a coffee and she will laugh it off," Chaudhary said.
Yet the race to embrace AI isn't always smooth for companies.
Take Sweden's Klarna. Chatbots helped the fintech firm cut thousands of jobs last year, but its CEO told Reuters in September the company is now "trying to course correct" and use the technology to improve products rather than reduce costs.
Chatbots have limitations. While most generic e-commerce-related queries posed by a Reuters reporter were handled well by LimeChat bots, some stumped them.
When LimeChat client Knya's bot was asked for proof of its claim that a million medical professionals trust its products, such as its stethoscopes, it replied: "I am sorry, I don't have enough information to answer your question." Knya didn't respond to a request for comment.
Customer surveys show chatbots are still disliked by many.
An August 2024 EY survey of 1,000 Indian consumers found 62% made purchases influenced by AI recommendations, compared with 30% globally. Yet, "the desire for a human connection remains strong," EY noted, with 78% preferring online platforms that provide human support.
LimeChat's Gupta, though, said well-trained AI agents could resolve queries faster than humans. He said many standard bots pass conversations to a human agent when they encounter angry customers: "You need a very small number of people to just handle negative experiences."
FROM JAVA TO AI
In the 1990s and 2000s, India's tech boom fueled rural-to-urban migration. Cities like Bengaluru became outsourcing hubs as domestic firms, including Tata Consultancy Services TCS.NS, Infosys INFY.NS and Wipro WIPR.NS, grew into global juggernauts.
That expansion trickled through to Ameerpet, a Hyderabad neighborhood where university graduates fill classrooms to learn IT skills and earn certifications for tech jobs.
Ameerpet's training centers traditionally offered courses in Microsoft Office and programming languages like Java. Visiting in April, Reuters found these centers are increasingly focused on AI training.
Outside one, Quality Thought, a banner featured a robot overlooking a globe with the letters "AI."
The center was offering a nine-month course in AI data science and prompt engineering for about $1,360, more than double the price of a traditional web-development program.
"Recruiters are asking for students with basic AI skills," staffer Priyanka Kandulapati said. "We are going to streamline our courses even further to suit the demand."
In a discussion with startup founders last month about the pace of change, venture capitalist Vinod Khosla, who co-founded Sun Microsystems, offered a stark view of the future for India.
"All IT services will be replaced in the next five years," he said. "It's going to be pretty chaotic."
On hold https://reut.rs/46tEiNq
(Reporting by Munsif Vengattil in Bengaluru and Aditya Kalra in New Delhi. Additional reporting by Haripriya Suresh and Rishika Sadam in Hyderabad, Jatindra Dash in Bhubaneswar, Saurabh Sharma in Lucknow, Sai Ishwarbharath B in Bengaluru, and Praveen Paramasivam in Chennai. Editing by David Crawshaw.)
BREAKINGVIEWS-Unilever India boss’s first job is a deep clean
The author is a Reuters Breakingviews columnist. The opinions expressed are her own. Refiles to include updated CNBC-TV18 report in context news.
By Shritama Bose
MUMBAI, July 14 (Reuters Breakingviews) - Indian consumers are shaking a global giant awake. Last Thursday, Unilever ULVR.L named Priya Nair CEO of its local unit to replace Rohit Jawa, who will leave at the end of July after completing less than half of his term. The $150 billion maker of Dove soap is struggling to grow in its second-largest market. The new chief’s biggest task is refreshing the unit's stale business.
The management rejig, which fuelled a 5% surge in Hindustan Unilever’s (HUL) HLL.NS shares on Friday, follows a change of guard at the London-headquartered group and years of weak performance at the Indian unit. Over the past two years, HUL's sales grew just 2%, far behind Nestle NEST.NS which managed 9%. This bleak performance is captured in the Mumbai-listed shares. HUL trades at 52 times the unit’s expected earnings for 2025, lagging Nestle India, which trades at 68 times.
There are multiple reasons for this yawning gap. To start, the owner of the Lakme beauty brand is failing to keep up with homegrown challengers like $7 billion Nykaa NYKA.NS and $1 billion Honasa Consumer’s HONA.NS Mamaearth, which offer more differentiated beauty products to the well-heeled and upwardly mobile Indian consumers. At the lower end of the market, private labels are finding favour with shoppers on a budget. HUL reacted to the trend with a new strategy involving a $311 million acquisition of skincare brand Minimalist in January, among other things, but it needs to do more. It could consider adding Temasek-backed fast-growing packaged snacks maker Haldiram's to complement its portfolio. Introducing global brands like Ben & Jerry's ice cream or Maille condiments would offer an easy refresh of its India shelves too.
A shifting market structure has pulled the rug from under the vaunted distribution model of the Brooke Bond tea maker. Urban Indians are increasingly ordering everything from milk to lipstick through apps like Blinkit, backed by $28 billion food delivery champion Eternal ETEA.NS, which offers 10-minute deliveries and a superior product selection. HUL is yet to update its supply chains to keep up with the speedy replenishment this channel demands. This is a problem given this end of the grocery market is growing 70% annually, per Bernstein.
Nair currently presides over Unilever’s beauty business and is an old India hand. That sets her up nicely to tackle the aforementioned issues. And if she manages to revitalise the business, it will also help the larger Unilever group, which owns 62% of the Indian unit. But given how far Unilever's Indian business is lagging, the cleanup will take time.
Follow Shritama Bose on Linkedin and X.
CONTEXT NEWS
Unilever's Indian unit on July 10 said Priya Nair will take charge as its CEO on August 1. Nair currently serves as president of the London-headquartered company's beauty and wellbeing division.
She will take over from Rohit Jawa, who has held the top role at Hindustan Unilever since June 2023. Jawa will leave the group without completing his five-year tenure as CEO of the unit.
Hindustan Unilever's Mumbai-listed shares rose 5% on July 11, following the announcement.
The unit's chief financial officer, Ritesh Tiwari, is likely to step down from the function and be moved to a global role, CNBC-TV18 reported on July 11, citing unnamed sources. The report was later updated to remove the reference on his move to a global role.
Unilever has lost its valuation edge https://www.reuters.com/graphics/BRV-BRV/lgvdalxxbpo/chart.png
(Editing by Aimee Donnellan; Production by Ujjaini Dutta)
((For previous columns by the author, Reuters customers can click on BOSE/[email protected]))
The author is a Reuters Breakingviews columnist. The opinions expressed are her own. Refiles to include updated CNBC-TV18 report in context news.
By Shritama Bose
MUMBAI, July 14 (Reuters Breakingviews) - Indian consumers are shaking a global giant awake. Last Thursday, Unilever ULVR.L named Priya Nair CEO of its local unit to replace Rohit Jawa, who will leave at the end of July after completing less than half of his term. The $150 billion maker of Dove soap is struggling to grow in its second-largest market. The new chief’s biggest task is refreshing the unit's stale business.
The management rejig, which fuelled a 5% surge in Hindustan Unilever’s (HUL) HLL.NS shares on Friday, follows a change of guard at the London-headquartered group and years of weak performance at the Indian unit. Over the past two years, HUL's sales grew just 2%, far behind Nestle NEST.NS which managed 9%. This bleak performance is captured in the Mumbai-listed shares. HUL trades at 52 times the unit’s expected earnings for 2025, lagging Nestle India, which trades at 68 times.
There are multiple reasons for this yawning gap. To start, the owner of the Lakme beauty brand is failing to keep up with homegrown challengers like $7 billion Nykaa NYKA.NS and $1 billion Honasa Consumer’s HONA.NS Mamaearth, which offer more differentiated beauty products to the well-heeled and upwardly mobile Indian consumers. At the lower end of the market, private labels are finding favour with shoppers on a budget. HUL reacted to the trend with a new strategy involving a $311 million acquisition of skincare brand Minimalist in January, among other things, but it needs to do more. It could consider adding Temasek-backed fast-growing packaged snacks maker Haldiram's to complement its portfolio. Introducing global brands like Ben & Jerry's ice cream or Maille condiments would offer an easy refresh of its India shelves too.
A shifting market structure has pulled the rug from under the vaunted distribution model of the Brooke Bond tea maker. Urban Indians are increasingly ordering everything from milk to lipstick through apps like Blinkit, backed by $28 billion food delivery champion Eternal ETEA.NS, which offers 10-minute deliveries and a superior product selection. HUL is yet to update its supply chains to keep up with the speedy replenishment this channel demands. This is a problem given this end of the grocery market is growing 70% annually, per Bernstein.
Nair currently presides over Unilever’s beauty business and is an old India hand. That sets her up nicely to tackle the aforementioned issues. And if she manages to revitalise the business, it will also help the larger Unilever group, which owns 62% of the Indian unit. But given how far Unilever's Indian business is lagging, the cleanup will take time.
Follow Shritama Bose on Linkedin and X.
CONTEXT NEWS
Unilever's Indian unit on July 10 said Priya Nair will take charge as its CEO on August 1. Nair currently serves as president of the London-headquartered company's beauty and wellbeing division.
She will take over from Rohit Jawa, who has held the top role at Hindustan Unilever since June 2023. Jawa will leave the group without completing his five-year tenure as CEO of the unit.
Hindustan Unilever's Mumbai-listed shares rose 5% on July 11, following the announcement.
The unit's chief financial officer, Ritesh Tiwari, is likely to step down from the function and be moved to a global role, CNBC-TV18 reported on July 11, citing unnamed sources. The report was later updated to remove the reference on his move to a global role.
Unilever has lost its valuation edge https://www.reuters.com/graphics/BRV-BRV/lgvdalxxbpo/chart.png
(Editing by Aimee Donnellan; Production by Ujjaini Dutta)
((For previous columns by the author, Reuters customers can click on BOSE/[email protected]))
Zaggle Prepaid Ocean Services Enters Agreement With Honasa Consumer
Feb 25 (Reuters) - Zaggle Prepaid Ocean Services Ltd ZAGG.NS:
ZAGGLE PREPAID OCEAN SERVICES LTD - ENTERS AGREEMENT WITH HONASA CONSUMER
ZAGGLE PREPAID OCEAN SERVICES - TO PROVIDE ZOYER PLATFORM TO HONASA CONSUMER
ZAGGLE PREPAID OCEAN SERVICES LTD - CONTRACT TO BE EXECUTED OVER 36 MONTHS
Source text: ID:nBSE7xXHXT
Further company coverage: ZAGG.NS
(([email protected];))
Feb 25 (Reuters) - Zaggle Prepaid Ocean Services Ltd ZAGG.NS:
ZAGGLE PREPAID OCEAN SERVICES LTD - ENTERS AGREEMENT WITH HONASA CONSUMER
ZAGGLE PREPAID OCEAN SERVICES - TO PROVIDE ZOYER PLATFORM TO HONASA CONSUMER
ZAGGLE PREPAID OCEAN SERVICES LTD - CONTRACT TO BE EXECUTED OVER 36 MONTHS
Source text: ID:nBSE7xXHXT
Further company coverage: ZAGG.NS
(([email protected];))
India's Honasa Consumer rises after Q3 earnings
** Shares of Honasa Consumer HONA.NS rise as much as 8.6% to 222.28 rupees
** Mamaearth's parent reported 0.5% rise in Q3 consol net profit to 260.2 million rupees, rev grew 6% to 5.18 billion rupees
** Q3 EBITDA margin at 5% vs 7.1% a year earlier
** Rev was in-line with slight EBITDA beat; Mamaearth brand declined, while younger brands grew over 30% - Jefferies
** Brokerage Emkay expects Q4 sales growth in high single digit, sees EBITDA pressured by higher advertising, promotion
** More than 3 million shares traded as of 10:13 a.m. IST, 3.8x 30-day moving avg
** Mean rating of stock is 'hold'; median PT is 374 rupees - data compiled by LSEG
** HONA down 19.8% YTD
(Reporting by Meenakshi Maidas in Bengaluru)
(([email protected];))
** Shares of Honasa Consumer HONA.NS rise as much as 8.6% to 222.28 rupees
** Mamaearth's parent reported 0.5% rise in Q3 consol net profit to 260.2 million rupees, rev grew 6% to 5.18 billion rupees
** Q3 EBITDA margin at 5% vs 7.1% a year earlier
** Rev was in-line with slight EBITDA beat; Mamaearth brand declined, while younger brands grew over 30% - Jefferies
** Brokerage Emkay expects Q4 sales growth in high single digit, sees EBITDA pressured by higher advertising, promotion
** More than 3 million shares traded as of 10:13 a.m. IST, 3.8x 30-day moving avg
** Mean rating of stock is 'hold'; median PT is 374 rupees - data compiled by LSEG
** HONA down 19.8% YTD
(Reporting by Meenakshi Maidas in Bengaluru)
(([email protected];))
Honasa Consumer Dec-Quarter Consol Net Profit 260.2 Mln Rupees
Feb 12 (Reuters) - Honasa Consumer Ltd HONA.NS:
DEC-QUARTER CONSOL NET PROFIT 260.2 MILLION RUPEES
DEC-QUARTER CONSOL REVENUE FROM OPERATIONS 5.18 BILLION RUPEES
Source text: [ID:]
Further company coverage: HONA.NS
(([email protected];;))
Feb 12 (Reuters) - Honasa Consumer Ltd HONA.NS:
DEC-QUARTER CONSOL NET PROFIT 260.2 MILLION RUPEES
DEC-QUARTER CONSOL REVENUE FROM OPERATIONS 5.18 BILLION RUPEES
Source text: [ID:]
Further company coverage: HONA.NS
(([email protected];;))
India's Honasa Consumer jumps 10% after large deal at premium
** Shares of Honasa Consumer HONA.NS rise by an exchange-allowed maximum 10% to 252.65 rupees
** 764,999 shares traded in a block deal on NSE at 9% premium to prev close - LSEG data
** Overall trading vol of 2.9 mln is nearly 2x the 30-day average
** Stock up ~12% this week, set to snap six-week losing run
** HONA down ~36% this month after reporting its first quarterly loss since listing last November
(Reporting by Vijay Malkar)
(([email protected];))
** Shares of Honasa Consumer HONA.NS rise by an exchange-allowed maximum 10% to 252.65 rupees
** 764,999 shares traded in a block deal on NSE at 9% premium to prev close - LSEG data
** Overall trading vol of 2.9 mln is nearly 2x the 30-day average
** Stock up ~12% this week, set to snap six-week losing run
** HONA down ~36% this month after reporting its first quarterly loss since listing last November
(Reporting by Vijay Malkar)
(([email protected];))
India's Mamaearth parent set for worst week since debut on quarterly loss
** India's Mamaearth parent Honasa Consumer HONA.NS down ~2% at 233.65 rupees, set for a four-session losing streak
** Stock down about 37% so far this week, on course for its worst week since trading debut in Nov 2023
** The beauty and personal care products retailer posted its first quarterly loss since listing, triggering a meltdown in its stock and wiping off $415 mln in market value
** Analysts said Q2 results fanned demand and growth worries for Mamaearth, which is also facing stiff competition from larger rival Nykaa FSNE.NS and private players such as Health & Glow
** Moreover, India's biggest retail distributors' association on Tuesday accused HONA of dumping excessive inventory, a significant portion nearing expiry, onto distributors without considering market demand; HONA denied the report terming it "misinformation"
** HONA stock drops ~31% since listing in Nov 2023
(Reporting by Ananta Agarwal in Bengaluru)
** India's Mamaearth parent Honasa Consumer HONA.NS down ~2% at 233.65 rupees, set for a four-session losing streak
** Stock down about 37% so far this week, on course for its worst week since trading debut in Nov 2023
** The beauty and personal care products retailer posted its first quarterly loss since listing, triggering a meltdown in its stock and wiping off $415 mln in market value
** Analysts said Q2 results fanned demand and growth worries for Mamaearth, which is also facing stiff competition from larger rival Nykaa FSNE.NS and private players such as Health & Glow
** Moreover, India's biggest retail distributors' association on Tuesday accused HONA of dumping excessive inventory, a significant portion nearing expiry, onto distributors without considering market demand; HONA denied the report terming it "misinformation"
** HONA stock drops ~31% since listing in Nov 2023
(Reporting by Ananta Agarwal in Bengaluru)
India's Mamaearth parent loses $415 mln in market value as Q2 loss fans demand worries
By Kashish Tandon and Indranil Sarkar
Nov 19 (Reuters) - Indian skincare firm Mamaearth's parent Honasa Consumer HONA.NS wiped off nearly 35 billion rupees ($414.7 million) in market valuation in two sessions, after a second-quarter loss fanned demand concerns for the beauty products retailer.
The stock touched a record low of 242.35 rupees on Tuesday, and has fallen by about 30% over the last two days. Its market cap has declined to 86 billion rupees.
The sharp selloff was triggered after Honasa posted its first quarterly loss since listing in Nov. 2023 late on Thursday.
It joined a long list of Indian consumer firms such as Hindustan Unilever HLL.NS and Nestle India NEST.NS to report downbeat results this quarter as urban consumers cut spending in the face of high inflation.
A challenging demand scenario and weaker-than-expected performance has hurt the company, analysts at JM Financial said.
Analysts said that Honasa, which competes with larger rival Nykaa FSNE.NS and private players such as Health & Glow, was hurt by stiff competition in India's beauty and personal care industry, whose market size is likely to hit $28 billion by 2025 from $17.8 billion in 2020, per Avendus data.
The competition has forced the company, also known for its brands such as 'The Derma Co' and 'Aqualogica,' to rethink its business strategy, said Arvind Singhal, chairman of consultancy firm Technopak Advisors.
Honasa, which sells its products primarily through online platforms, had said in its post-earnings call that it is planning to scale up its business by shifting its focus more on offline channels.
Analysts at Citi said the move "needs a refresher", and downgraded the stock by two notches to a "sell" from "buy".
The brokerage also cited consumers' shift to more active ingredient-based products from naturals-based products earlier.
At least five analysts downgraded the stock after its results, while nine slashed their price targets, per data compiled by LSEG.
($1 = 84.4000 Indian rupees)
(Reporting by Kashish Tandon and Indranil Sarkar in Bengaluru; Editing by Varun H K)
(([email protected]; 8800437922;))
By Kashish Tandon and Indranil Sarkar
Nov 19 (Reuters) - Indian skincare firm Mamaearth's parent Honasa Consumer HONA.NS wiped off nearly 35 billion rupees ($414.7 million) in market valuation in two sessions, after a second-quarter loss fanned demand concerns for the beauty products retailer.
The stock touched a record low of 242.35 rupees on Tuesday, and has fallen by about 30% over the last two days. Its market cap has declined to 86 billion rupees.
The sharp selloff was triggered after Honasa posted its first quarterly loss since listing in Nov. 2023 late on Thursday.
It joined a long list of Indian consumer firms such as Hindustan Unilever HLL.NS and Nestle India NEST.NS to report downbeat results this quarter as urban consumers cut spending in the face of high inflation.
A challenging demand scenario and weaker-than-expected performance has hurt the company, analysts at JM Financial said.
Analysts said that Honasa, which competes with larger rival Nykaa FSNE.NS and private players such as Health & Glow, was hurt by stiff competition in India's beauty and personal care industry, whose market size is likely to hit $28 billion by 2025 from $17.8 billion in 2020, per Avendus data.
The competition has forced the company, also known for its brands such as 'The Derma Co' and 'Aqualogica,' to rethink its business strategy, said Arvind Singhal, chairman of consultancy firm Technopak Advisors.
Honasa, which sells its products primarily through online platforms, had said in its post-earnings call that it is planning to scale up its business by shifting its focus more on offline channels.
Analysts at Citi said the move "needs a refresher", and downgraded the stock by two notches to a "sell" from "buy".
The brokerage also cited consumers' shift to more active ingredient-based products from naturals-based products earlier.
At least five analysts downgraded the stock after its results, while nine slashed their price targets, per data compiled by LSEG.
($1 = 84.4000 Indian rupees)
(Reporting by Kashish Tandon and Indranil Sarkar in Bengaluru; Editing by Varun H K)
(([email protected]; 8800437922;))
India's Honasa Consumer tumbles 20% after posting loss in Q2
** Shares of Honasa Consumer HONA.NS fall an exchange-allowed maximum of 20% to a record low of 297.3 rupees
** The beauty products retailer posted a consolidated net loss of 185.8 mln rupees ($2.20 mln) vs a profit of 294.4 mlm rupees a year ago; rev from ops down ~7% Y/Y
** Co hurt by inventory correction and bleak demand during the quarter
** Five analysts covering the stock cut stock's PT after results, while avg rating of 12 analysts still at "buy"; median PT is 540 rupees - LSEG data
** Stock down 25% so far this month, on track for biggest monthly fall since listing a year ago
($1 = 84.3850 Indian rupees)
(Reporting by Ashna Teresa Britto in Bengaluru)
(([email protected] ; ( +91 8078332441))
** Shares of Honasa Consumer HONA.NS fall an exchange-allowed maximum of 20% to a record low of 297.3 rupees
** The beauty products retailer posted a consolidated net loss of 185.8 mln rupees ($2.20 mln) vs a profit of 294.4 mlm rupees a year ago; rev from ops down ~7% Y/Y
** Co hurt by inventory correction and bleak demand during the quarter
** Five analysts covering the stock cut stock's PT after results, while avg rating of 12 analysts still at "buy"; median PT is 540 rupees - LSEG data
** Stock down 25% so far this month, on track for biggest monthly fall since listing a year ago
($1 = 84.3850 Indian rupees)
(Reporting by Ashna Teresa Britto in Bengaluru)
(([email protected] ; ( +91 8078332441))
Honasa Consumer Sept-Quarter Consol Net Loss After Tax 185.8 Million Rupees
Nov 14 (Reuters) - Honasa Consumer Ltd HONA.NS:
HONASA CONSUMER SEPT-QUARTER CONSOL NET LOSS AFTER TAX 185.8 MILLION RUPEES
HONASA CONSUMER SEPT-QUARTER CONSOL REVENUE FROM OPERATIONS 4.62 BILLION RUPEES
Source text: ID:nBSE7Dyt5Q
Further company coverage: HONA.NS
(([email protected];))
Nov 14 (Reuters) - Honasa Consumer Ltd HONA.NS:
HONASA CONSUMER SEPT-QUARTER CONSOL NET LOSS AFTER TAX 185.8 MILLION RUPEES
HONASA CONSUMER SEPT-QUARTER CONSOL REVENUE FROM OPERATIONS 4.62 BILLION RUPEES
Source text: ID:nBSE7Dyt5Q
Further company coverage: HONA.NS
(([email protected];))
Honasa Consumer Says Court Of Appeal (Dubai) Passed Order On Oct 15 Rejecting Appeals Of Co
Oct 18 (Reuters) - Honasa Consumer Ltd HONA.NS:
HONASA CONSUMER - COURT OF APPEAL (DUBAI) PASSED ORDER ON OCT 15 REJECTING APPEALS OF CO
Source text for Eikon: ID:nBSE5Gmy0S
Further company coverage: HONA.NS
(([email protected];;))
Oct 18 (Reuters) - Honasa Consumer Ltd HONA.NS:
HONASA CONSUMER - COURT OF APPEAL (DUBAI) PASSED ORDER ON OCT 15 REJECTING APPEALS OF CO
Source text for Eikon: ID:nBSE5Gmy0S
Further company coverage: HONA.NS
(([email protected];;))
Honasa Consumer Says Mamaearth Partners With Meesho To Amplify Reach In Tier 3, Beyond
Oct 9 (Reuters) - Honasa Consumer Ltd HONA.NS:
HONASA CONSUMER - MAMAEARTH PARTNERS WITH MEESHO TO AMPLIFY REACH IN TIER 3, BEYOND
HONASA CONSUMER - TARGETS 1 BILLION ARR ON PLATFORM IN NEXT 12 MONTHS
Further company coverage: HONA.NS
(([email protected];))
Oct 9 (Reuters) - Honasa Consumer Ltd HONA.NS:
HONASA CONSUMER - MAMAEARTH PARTNERS WITH MEESHO TO AMPLIFY REACH IN TIER 3, BEYOND
HONASA CONSUMER - TARGETS 1 BILLION ARR ON PLATFORM IN NEXT 12 MONTHS
Further company coverage: HONA.NS
(([email protected];))
Honasa Consumer Says Dubai Court Ordered To Attach Assets Of Co In UAE
Oct 4 (Reuters) - Honasa Consumer Ltd HONA.NS:
UPDATE ON ONGOING LITIGATION BETWEEN CO AND RSM GENERAL TRADING LLC
DUBAI COURT HAS REJECTED GRIEVANCES FILED BY BOTH PARTIES
DUBAI COURT ORDERED TO ATTACH ASSETS OF CO IN UAE
DUBAI COURT REFUSED TO CANCEL TRADING LICENSE OF HONASA CONSUMER GENERAL TRADING
Source text for Eikon: ID:nBSE7FbmsX
Further company coverage: HONA.NS
(([email protected];;))
Oct 4 (Reuters) - Honasa Consumer Ltd HONA.NS:
UPDATE ON ONGOING LITIGATION BETWEEN CO AND RSM GENERAL TRADING LLC
DUBAI COURT HAS REJECTED GRIEVANCES FILED BY BOTH PARTIES
DUBAI COURT ORDERED TO ATTACH ASSETS OF CO IN UAE
DUBAI COURT REFUSED TO CANCEL TRADING LICENSE OF HONASA CONSUMER GENERAL TRADING
Source text for Eikon: ID:nBSE7FbmsX
Further company coverage: HONA.NS
(([email protected];;))
Honasa Consumer Says Mamaearth Strengthens Offline Presence
Sept 18 (Reuters) - Honasa Consumer Ltd HONA.NS:
MAMAEARTH STRENGTHENS OFFLINE PRESENCE
DISTRIBUTION IN CSD CHANNEL UNDER MINISTRY OF DEFENCE NATIONWIDE
Source text for Eikon: ID:nBSE5Pk556
Further company coverage: HONA.NS
(([email protected];;))
Sept 18 (Reuters) - Honasa Consumer Ltd HONA.NS:
MAMAEARTH STRENGTHENS OFFLINE PRESENCE
DISTRIBUTION IN CSD CHANNEL UNDER MINISTRY OF DEFENCE NATIONWIDE
Source text for Eikon: ID:nBSE5Pk556
Further company coverage: HONA.NS
(([email protected];;))
India's Honasa Consumer falls on report of investors selling stake
** Shares of beauty products retailer Honasa HONA.NS down 5.1%, top loser among small-caps .NIFSMCP100
** Investors including Peak XV Partners Investments VI, Redwood Trust, Sequoia Capital Global Growth Fund III are selling 16.8 bln rupees worth stake in co, IFR Markets reports
** Sale at floor price of 480 rupees, ~8% discount to last close, IFR says
** About 36.9 mln shares change hands in multiple block deals, per LSEG data
** Stock up 11.5% YTD vs a 27.4% gain in small-cap index
(Reporting by Sethuraman NR in Bengaluru)
(([email protected]; (+91 9945291420); Reuters Messaging: [email protected]))
** Shares of beauty products retailer Honasa HONA.NS down 5.1%, top loser among small-caps .NIFSMCP100
** Investors including Peak XV Partners Investments VI, Redwood Trust, Sequoia Capital Global Growth Fund III are selling 16.8 bln rupees worth stake in co, IFR Markets reports
** Sale at floor price of 480 rupees, ~8% discount to last close, IFR says
** About 36.9 mln shares change hands in multiple block deals, per LSEG data
** Stock up 11.5% YTD vs a 27.4% gain in small-cap index
(Reporting by Sethuraman NR in Bengaluru)
(([email protected]; (+91 9945291420); Reuters Messaging: [email protected]))
India's Honasa Consumer at record high on nod for two acquisitions
** Shares of beauty and personal care company Honasa Consumer HONA.NS surge 14.8% to record high of 537.90 rupees
** Mamaearth-parent's stock last up 13%, set for 2nd best day since Nov 2023 listing
** India's National Company Law Tribunal (NCLT) approves HONA's acquisition of playschool info platform Just4Kids Services and skincare products maker Fusion Cosmecutics
** HONA has risen about 66% since its market debut, while benchmark Nifty 50 .NSEI has added 29% in the same period
** Avg rating of 11 analysts on HONA is equivalent of "buy"; median PT is 542.50 rupees -LSEG data
(Reporting by Bharath Rajeswaran in Bengaluru)
(([email protected]; +91 9769003463;))
** Shares of beauty and personal care company Honasa Consumer HONA.NS surge 14.8% to record high of 537.90 rupees
** Mamaearth-parent's stock last up 13%, set for 2nd best day since Nov 2023 listing
** India's National Company Law Tribunal (NCLT) approves HONA's acquisition of playschool info platform Just4Kids Services and skincare products maker Fusion Cosmecutics
** HONA has risen about 66% since its market debut, while benchmark Nifty 50 .NSEI has added 29% in the same period
** Avg rating of 11 analysts on HONA is equivalent of "buy"; median PT is 542.50 rupees -LSEG data
(Reporting by Bharath Rajeswaran in Bengaluru)
(([email protected]; +91 9769003463;))
Honasa Consumer Says Delhi High Court Directs RSM General To Withdraw Execution Proceedings In Dubai Against Co
Aug 21 (Reuters) - Honasa Consumer Ltd HONA.NS:
HONASA CONSUMER - DELHI HIGH COURT DIRECTS RSM GENERAL TO WITHDRAW EXECUTION PROCEEDINGS IN DUBAI AGAINST CO
HONASA CONSUMER - ORDER SHALL HAVE POSITIVE IMPACT ON FINANCIALS OF CO
Source text for Eikon: ID:nBSE29YcXd
Further company coverage: HONA.NS
(([email protected];))
Aug 21 (Reuters) - Honasa Consumer Ltd HONA.NS:
HONASA CONSUMER - DELHI HIGH COURT DIRECTS RSM GENERAL TO WITHDRAW EXECUTION PROCEEDINGS IN DUBAI AGAINST CO
HONASA CONSUMER - ORDER SHALL HAVE POSITIVE IMPACT ON FINANCIALS OF CO
Source text for Eikon: ID:nBSE29YcXd
Further company coverage: HONA.NS
(([email protected];))
Honasa Consumer June-Quarter Consol Net Profit At 402.6 Million Rupees
Aug 9 (Reuters) - Honasa Consumer Ltd HONA.NS:
JUNE-QUARTER CONSOL NET PROFIT 402.6 MILLION RUPEES
JUNE-QUARTER CONSOL REVENUE FROM OPERATIONS 5.54 BILLION RUPEES
Further company coverage: HONA.NS
(([email protected];))
Aug 9 (Reuters) - Honasa Consumer Ltd HONA.NS:
JUNE-QUARTER CONSOL NET PROFIT 402.6 MILLION RUPEES
JUNE-QUARTER CONSOL REVENUE FROM OPERATIONS 5.54 BILLION RUPEES
Further company coverage: HONA.NS
(([email protected];))
Honasa Consumer Says Delhi High Court Grants Ad-Interim Injunction, Anti-Enforcement Protection To Co
July 9 (Reuters) - Honasa Consumer Ltd HONA.NS:
DELHI HIGH COURT GRANTS AD-INTERIM INJUNCTION, ANTI-ENFORCEMENT PROTECTION TO CO
ORDER GRANTED TO RESTRICT RSM TO EXECUTE PREVIOUS DECREE PASSED BY DUBAI COURT
Further company coverage: HONA.NS
(([email protected];))
July 9 (Reuters) - Honasa Consumer Ltd HONA.NS:
DELHI HIGH COURT GRANTS AD-INTERIM INJUNCTION, ANTI-ENFORCEMENT PROTECTION TO CO
ORDER GRANTED TO RESTRICT RSM TO EXECUTE PREVIOUS DECREE PASSED BY DUBAI COURT
Further company coverage: HONA.NS
(([email protected];))
India's Mamaearth parent Honasa Consumer slips on block deals
** Shares of Mamaearth parent Honasa Consumer HONA.NS fall 6.7% to 427.3 rupees
** Nearly 248,000 shares of the skincare firm traded at an average price of 432.8 rupees, a near 6% discount to Monday's close of 458 rupees, as per LSEG data
** More than 2.7 mln shares change hands, 3.9x its 30-day avg
** Nine analysts covering the stock on avg have a "buy" rating; median PT is 532.5 rupees - LSEG data
** Stock down over 3% so far this year
(Reporting by Ashna Teresa Britto in Bengaluru)
(([email protected] ; ( +91 8078332441))
** Shares of Mamaearth parent Honasa Consumer HONA.NS fall 6.7% to 427.3 rupees
** Nearly 248,000 shares of the skincare firm traded at an average price of 432.8 rupees, a near 6% discount to Monday's close of 458 rupees, as per LSEG data
** More than 2.7 mln shares change hands, 3.9x its 30-day avg
** Nine analysts covering the stock on avg have a "buy" rating; median PT is 532.5 rupees - LSEG data
** Stock down over 3% so far this year
(Reporting by Ashna Teresa Britto in Bengaluru)
(([email protected] ; ( +91 8078332441))
Indian skincare firm Mamaearth's parent Honasa Consumer up on posting Q4 profit
** Shares of Honasa Consumer HONA.NS rise as much as 7.1% to 448 rupees, highest since Feb. 23
** Mamaearth's parent co reports consolidated net PAT of 304.8 mln rupees ($3.7 mln) vs year-ago loss of 1.62 bln rupees, aided by strong demand for beauty and personal care products
** More than 1.3 mln shares change hands, 2.2x its 30-day avg
** Nine analysts covering the stock on avg have a "buy" rating; median PT is 532.5 rupees - LSEG data
** Stock up 11% so far this week, eyes best weekly gain since Nov. 24
($1 = 83.2170 Indian rupees)
(Reporting by Ashna Teresa Britto in Bengaluru)
(([email protected] ; ( +91 8078332441))
** Shares of Honasa Consumer HONA.NS rise as much as 7.1% to 448 rupees, highest since Feb. 23
** Mamaearth's parent co reports consolidated net PAT of 304.8 mln rupees ($3.7 mln) vs year-ago loss of 1.62 bln rupees, aided by strong demand for beauty and personal care products
** More than 1.3 mln shares change hands, 2.2x its 30-day avg
** Nine analysts covering the stock on avg have a "buy" rating; median PT is 532.5 rupees - LSEG data
** Stock up 11% so far this week, eyes best weekly gain since Nov. 24
($1 = 83.2170 Indian rupees)
(Reporting by Ashna Teresa Britto in Bengaluru)
(([email protected] ; ( +91 8078332441))
India's Mamaearth parent Honasa posts Q4 profit on strong demand for skincare products
BENGALURU, May 23 (Reuters) - Indian skincare firm Mamaearth's parent Honasa Consumer HONA.NS 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 304.8 million rupees ($3.7 million) for the three months ended March 31, compared with a loss of 1.62 billion rupees 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 4.71 billion rupees.
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.
($1 = 83.2275 Indian rupees)
(Reporting by Ashna Teresa Britto in Bengaluru)
(([email protected];))
BENGALURU, May 23 (Reuters) - Indian skincare firm Mamaearth's parent Honasa Consumer HONA.NS 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 304.8 million rupees ($3.7 million) for the three months ended March 31, compared with a loss of 1.62 billion rupees 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 4.71 billion rupees.
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.
($1 = 83.2275 Indian rupees)
(Reporting by Ashna Teresa Britto in Bengaluru)
(([email protected];))
India's Honasa posts best 2-day jump in 5 months, helping erase YTD losses
** Shares of Mamaearth-parent Honasa Consumer HONA.NS jump ~9%, taking two-session gain to ~14% - most since late Nov
** Stock rose 4.5% on Mon after HONA said its skincare label 'The Derma Co' hit 5 bln rupees ($60 mln) annual revenue rate
** Jefferies calls it "a key milestone" as brand is under 4 years; says HONA leading market for active ingredient-based products
** HONA set for fourth straight session of gains in which it has added ~16%, helping erase nearly all YTD losses
** Stock has jumped 30.5% since listing on Nov. 7
($1 = 83.3500 Indian rupees)
(Reporting by Kashish Tandon in Bengaluru)
** Shares of Mamaearth-parent Honasa Consumer HONA.NS jump ~9%, taking two-session gain to ~14% - most since late Nov
** Stock rose 4.5% on Mon after HONA said its skincare label 'The Derma Co' hit 5 bln rupees ($60 mln) annual revenue rate
** Jefferies calls it "a key milestone" as brand is under 4 years; says HONA leading market for active ingredient-based products
** HONA set for fourth straight session of gains in which it has added ~16%, helping erase nearly all YTD losses
** Stock has jumped 30.5% since listing on Nov. 7
($1 = 83.3500 Indian rupees)
(Reporting by Kashish Tandon in Bengaluru)
Fireside Ventures Investment Fund I Cuts Stake In Honasa Consumer - Exchange Filing
March 5 (Reuters) -
FIRESIDE VENTURES INVESTMENT FUND I CUTS STAKE IN HONASA CONSUMER TO 5.52% FROM 7.57% - EXCHANGE FILING
Source text for Eikon: ID:nBSEbb8zcW
Further company coverage: HONA.NS
(([email protected];;))
March 5 (Reuters) -
FIRESIDE VENTURES INVESTMENT FUND I CUTS STAKE IN HONASA CONSUMER TO 5.52% FROM 7.57% - EXCHANGE FILING
Source text for Eikon: ID:nBSEbb8zcW
Further company coverage: HONA.NS
(([email protected];;))
India's Honasa Consumer jumps after Citi starts with "buy"
** Shares of Mamaearth-parent Honasa Consumer HONA.NS jump 4.3% to 452.15 rupees after Citi starts with "buy"
** Citi sees rev CAGR of 25% from FY24-26, EBITDA to grow 55% as ad spend reduces and Mamaearth's offline channels expand
** Expects Honasa's newer beauty and personal care products brands to repeat success of Mamaearth (~78% of FY23 sales) and improve overall rev share
** Citi sets 550 rupees PT, valuing HONA at "rich" 55x EV/EBITDA, but says it's justified given HONA can outgrow peers
** At least three other brokerages cover HONA, with 2 rating it "buy" and 1 "underweight"; mean PT is ~498 rupees -LSEG data
** HONA stock up~ 37% since listing in November
(Reporting by Nandan Mandayam in Bengaluru)
(([email protected]; Mobile: +91 9591011727;))
** Shares of Mamaearth-parent Honasa Consumer HONA.NS jump 4.3% to 452.15 rupees after Citi starts with "buy"
** Citi sees rev CAGR of 25% from FY24-26, EBITDA to grow 55% as ad spend reduces and Mamaearth's offline channels expand
** Expects Honasa's newer beauty and personal care products brands to repeat success of Mamaearth (~78% of FY23 sales) and improve overall rev share
** Citi sets 550 rupees PT, valuing HONA at "rich" 55x EV/EBITDA, but says it's justified given HONA can outgrow peers
** At least three other brokerages cover HONA, with 2 rating it "buy" and 1 "underweight"; mean PT is ~498 rupees -LSEG data
** HONA stock up~ 37% since listing in November
(Reporting by Nandan Mandayam in Bengaluru)
(([email protected]; Mobile: +91 9591011727;))
India's Honasa Consumer caps gains after JPM downgrades to 'underweight'
** Shares of Honasa Consumer Ltd HONA.NS up 2.1% at 442.2 rupees
** Beauty products retailer had risen as much as 9.7% earlier in the day on Q3 profit jump
** J.P.Morgan downgrades to "Underweight" from "Neutral", citing slowing revenue growth at flagship 'Mamaearth' brand, limited scope for "rapid" margin expansion amid soft demand and stiff competition
** Adds, current valuations at ~99x/70x FY25/26E P/E are demanding; downgrades PT to 390 rupees from 425 rupees earlier
** Over 2.8 mln shares traded, 3x 30-day avg volume
** Including session's moves, stock little changed this year
(Reporting by Nandan Mandayam in Bengaluru)
(([email protected]; Mobile: +91 9591011727;))
** Shares of Honasa Consumer Ltd HONA.NS up 2.1% at 442.2 rupees
** Beauty products retailer had risen as much as 9.7% earlier in the day on Q3 profit jump
** J.P.Morgan downgrades to "Underweight" from "Neutral", citing slowing revenue growth at flagship 'Mamaearth' brand, limited scope for "rapid" margin expansion amid soft demand and stiff competition
** Adds, current valuations at ~99x/70x FY25/26E P/E are demanding; downgrades PT to 390 rupees from 425 rupees earlier
** Over 2.8 mln shares traded, 3x 30-day avg volume
** Including session's moves, stock little changed this year
(Reporting by Nandan Mandayam in Bengaluru)
(([email protected]; Mobile: +91 9591011727;))
Honasa Consumer Dec-Quarter Consol Net Profit 259 Million Rupees
Feb 9 (Reuters) - Honasa Consumer Ltd HONA.NS:
HONASA CONSUMER DEC-QUARTER CONSOL NET PROFIT 259 MILLION RUPEES VERSUS 94.7 MILLION RUPEES
HONASA CONSUMER DEC-QUARTER CONSOL REVENUE FROM OPERATIONS 4.88 BILLION RUPEES VERSUS 3.82 BILLION RUPEES
Source text for Eikon: [ID:]
Further company coverage: HONA.NS
(([email protected];))
Feb 9 (Reuters) - Honasa Consumer Ltd HONA.NS:
HONASA CONSUMER DEC-QUARTER CONSOL NET PROFIT 259 MILLION RUPEES VERSUS 94.7 MILLION RUPEES
HONASA CONSUMER DEC-QUARTER CONSOL REVENUE FROM OPERATIONS 4.88 BILLION RUPEES VERSUS 3.82 BILLION RUPEES
Source text for Eikon: [ID:]
Further company coverage: HONA.NS
(([email protected];))
India's Mamaearth hits record high after block deals
** Mamaearth-parent Honasa Consumer's shares HONA.NS jump 10% to record high of 490.20 rupees
** About 3.5 mln HONA shares traded as of 2:32 p.m. IST in two block deals at 437.20-490.20 rupees each- LSEG data
** Stock up 7.3% in six sessions so far this year
** HONA has risen ~40% since listing on Nov. 7
(Reporting by Rama Venkat in Bengaluru)
** Mamaearth-parent Honasa Consumer's shares HONA.NS jump 10% to record high of 490.20 rupees
** About 3.5 mln HONA shares traded as of 2:32 p.m. IST in two block deals at 437.20-490.20 rupees each- LSEG data
** Stock up 7.3% in six sessions so far this year
** HONA has risen ~40% since listing on Nov. 7
(Reporting by Rama Venkat in Bengaluru)
Jefferies sees demand uptick, margin growth for India's consumer stocks in 2024
** An undemanding base coupled with continuing efforts to tame inflation should support consumer staples companies in 2024, says Jefferies
** Brokerage sees scope for margin expansion in the sector in 2024 due to volume growth, remains hopeful of a pick-up in rural demand in second half of 2024
** Upgrades Dabur DABU.NS to "buy" from "hold"; identifies DABU, Godrej Consumer Products GOCP.NS, Marico MRCO.NS and Honasa Consumer HONA.NS as its top picks, citing valuation comfort
** Downgrades Britannia and Tata Consumer to "hold" from "buy"
** Hikes target price of Hindustan Unilever HLL.NS, ITC ITC.NS, Nestle India NEST.NS, Varun Beverages VARB.NS, Britannia BRIT.NS, Tata Consumer TACN.NS, DABU, GOCP, Colgate Palmolive COLG.NS, Emami EMAM.NS and HONA
** India FMCG index .NIFTYFMCG up 0.85% on the day; EMAM gains 3.4%, TACN up 2.75%; DABU and GOCP add 2% each
Jefferies sees growth pick-up in India's consumer companies in 2024 https://tmsnrt.rs/3H7aI2M
(Reporting by Bharath Rajeswaran in Bengaluru)
(([email protected]; +91 9769003463;))
** An undemanding base coupled with continuing efforts to tame inflation should support consumer staples companies in 2024, says Jefferies
** Brokerage sees scope for margin expansion in the sector in 2024 due to volume growth, remains hopeful of a pick-up in rural demand in second half of 2024
** Upgrades Dabur DABU.NS to "buy" from "hold"; identifies DABU, Godrej Consumer Products GOCP.NS, Marico MRCO.NS and Honasa Consumer HONA.NS as its top picks, citing valuation comfort
** Downgrades Britannia and Tata Consumer to "hold" from "buy"
** Hikes target price of Hindustan Unilever HLL.NS, ITC ITC.NS, Nestle India NEST.NS, Varun Beverages VARB.NS, Britannia BRIT.NS, Tata Consumer TACN.NS, DABU, GOCP, Colgate Palmolive COLG.NS, Emami EMAM.NS and HONA
** India FMCG index .NIFTYFMCG up 0.85% on the day; EMAM gains 3.4%, TACN up 2.75%; DABU and GOCP add 2% each
Jefferies sees growth pick-up in India's consumer companies in 2024 https://tmsnrt.rs/3H7aI2M
(Reporting by Bharath Rajeswaran in Bengaluru)
(([email protected]; +91 9769003463;))
India's Honasa Consumer up after six days of loss as Norges buys stake
** Shares of Honasa Consumer HONA.NS, parent of beauty products firm Mamaearth, rise as much as 5.1% to 381.95 rupees
** If gains hold, stock set to end six-day losing run
** Norway sovereign fund Norges Bank on Tuesday bought 0.8% stake in HONA per NSE bulk deal data
** Norges buys HONA shares at 378 rupees/shr – a 4% premium to its last close of 363.40 rupees
** Around 1.4 mln shares change hands by 1:56 p.m. IST
(Reporting by Nandan Mandayam in Bengaluru)
(([email protected]; Mobile: +91 9591011727;))
** Shares of Honasa Consumer HONA.NS, parent of beauty products firm Mamaearth, rise as much as 5.1% to 381.95 rupees
** If gains hold, stock set to end six-day losing run
** Norway sovereign fund Norges Bank on Tuesday bought 0.8% stake in HONA per NSE bulk deal data
** Norges buys HONA shares at 378 rupees/shr – a 4% premium to its last close of 363.40 rupees
** Around 1.4 mln shares change hands by 1:56 p.m. IST
(Reporting by Nandan Mandayam in Bengaluru)
(([email protected]; Mobile: +91 9591011727;))
Events:
More Small Cap Ideas
See similar 'Small' cap companies with recent activity
Promoter Buying
Companies where the promoters are bullish
Capex
Companies investing on expansion
Superstar Investor
Companies where well known investors have invested
Popular questions
-
Business
-
Financials
-
Share Price
-
Shareholdings
What does Honasa Consumer do?
Honasa Consumer Limited is a digital-first house of brands catering to millennials with a focus on beauty and personal care. Their portfolio includes popular brands like Mamaearth and The Derma Co., adapting to evolving consumer needs.
Who are the competitors of Honasa Consumer?
Honasa Consumer major competitors are FSN E-Commerce, Emami, Godrej Consumer Prod, Hindustan Unilever, Dabur India, P&G Hygiene. Market Cap of Honasa Consumer is ₹8,980 Crs. While the median market cap of its peers are ₹81,655 Crs.
Is Honasa Consumer financially stable compared to its competitors?
Honasa Consumer seems to be less financially stable compared to its competitors. Altman Z score of Honasa Consumer is 11.03 and is ranked 7 out of its 7 competitors.
Does Honasa Consumer pay decent dividends?
The company seems to be paying a very low dividend. Investors need to see where the company is allocating its profits. Honasa Consumer latest dividend payout ratio is 0% and 3yr average dividend payout ratio is 0%
How has Honasa Consumer allocated its funds?
Companies resources are majorly tied in miscellaneous assets
How strong is Honasa Consumer balance sheet?
Balance sheet of Honasa Consumer is strong. It shouldn't have solvency or liquidity issues.
Is the profitablity of Honasa Consumer improving?
The profit is oscillating. The profit of Honasa Consumer is ₹73.75 Crs for TTM, ₹72.69 Crs for Mar 2025 and ₹112 Crs for Mar 2024.
Is the debt of Honasa Consumer increasing or decreasing?
Yes, The net debt of Honasa Consumer is increasing. Latest net debt of Honasa Consumer is -₹662.44 Crs as of Mar-25. This is greater than Mar-24 when it was -₹970.93 Crs.
Is Honasa Consumer stock expensive?
Yes, Honasa Consumer is expensive. Latest PE of Honasa Consumer is 121, while 3 year average PE is 84.17. Also latest EV/EBITDA of Honasa Consumer is 126 while 3yr average is 114.
Has the share price of Honasa Consumer grown faster than its competition?
Honasa Consumer has given lower returns compared to its competitors. Honasa Consumer has grown at ~-31.28% over the last 1yrs while peers have grown at a median rate of -11.0%
Is the promoter bullish about Honasa Consumer?
Promoters seem not to be bullish about the company and have been selling shares in the open market. Latest quarter promoter holding in Honasa Consumer is 34.97% and last quarter promoter holding is 34.99%
Are mutual funds buying/selling Honasa Consumer?
The mutual fund holding of Honasa Consumer is increasing. The current mutual fund holding in Honasa Consumer is 2.51% while previous quarter holding is 2.39%.