Honasa Consumer Ltd, known for brands Mamaearth and Derma Co, on Wednesday, reported net profit of ₹29.43 crore in the second quarter ended September, nearly double of ₹15.19 crore recorded in the corresponding quarter of the previous fiscal. Revenue from operations was up 20.85 per cent to ₹496.10 crore in the quarter under review. This was the first quarterly results of the company after getting listed on the bourses.

Varun Alagh, Chairman and CEO, Honasa Consumer Ltd, said, “Honasa has been able to deliver market-beating growths and constantly improve the profitability portfolio of the company. Our business has grown by 33 per cent y-o-y in H1 FY24 which is 3.8 times the median growth of FMCG companies in India.”

Responding to a query on drivers of profitability, Alagh told businessline, “We have been able to efficiently leverage the marketing spends. As the awareness for our brands is growing the need for marketing in terms of percentage is declining. The second lever has been that OpEx is not growing as fast as the revenue is growing ....we are also seeing the procurement leverage coming in with scale.”

A company statement added that Dr Sheth’s has become the fourth brand from Honasa portfolio to enter the ₹150 crore club after Aqualogica and Derma Co.

Alagh added that the company will continue to invest in brand-building, distribution and R&D for innovation.

“While Honasa Consumer continues to be the leader in the digital BPC sector, the company has build strong offline distribution as well. As per NielsenIQ, brands of the company are retailed at 1,65,937 retail outlets in Sep-23, an increase of 47 per cent in offline distribution YoY,” the company’s statement added.