Honasa Consumer, the parent company of Mamaearth, has ambitious growth targets for its brands. The company expects its skincare brand, The Derma Co., to achieve an annualized revenue run rate (ARR) of INR 1,000 crore within the next 3-5 years. The company’s other brands, Aqualogica and Dr. Sheth’s, are projected to each reach INR 500 crore ARR between FY27 and FY29, while haircare brand BBLUNT aims for an ARR of INR 250 crore over the same period.
In its FY24 annual report, Honasa outlined its strategic focus on expanding distribution and increasing brand awareness. The company also plans to incubate or acquire new growth opportunities and enhance operational efficiency. Mamaearth, Honasa’s flagship brand, has significantly increased its offline sales contribution to nearly 35% in FY24, up from 9% in March 2020.
Honasa reported that data-driven product innovations contributed to 18% of FY24 revenues. At the end of March 2024, the company had over 111 exclusive brand outlets and 8,000+ stores across modern trade chains, with Mamaearth products available at 1.88 lakh retail outlets.
Online sales have also surged, with over 56% of units sold online coming from Tier-II and below cities. Quick commerce is noted as one of the fastest-growing channels.
Honasa’s net profit increased by 21% year-on-year to INR 30.47 crore in Q4 FY24, with operating revenue rising to INR 471.09 crore.
