Honasa Consumer kicks off FY27 with strong momentum, targeting 30% quarterly growth, expanded offline presence, and a push into premium products to enhance profitability, as management highlights sustainable growth and margin improvements.
Honasa Consumer opened its first-quarter FY27 earnings call with management striking an upbeat tone, saying the business was entering the new financial year with momentum across its portfolio. The company’s call, hosted by JM Financial and transcribed by GuruFocus, featured co-founder and chief executive Varun Alagh, co-founder and chief innovation officer Ghazal Alagh and chief financial officer Ramanpreet Sohi. The discussion centred on quarterly performance, channel expansion and the outlook for the rest of the year.
Industry commentary around the call pointed to expected year-on-year growth of about 30% in the quarter, with Mamaearth, Honasa’s flagship brand, forecast to deliver high-teen growth. Analysts also highlighted stronger contribution from newer brands, an expanding offline network and the company’s push into premium products aimed at consumers trading up for differentiated personal care offerings. That strategy comes as Honasa continues to lean on premiumisation, a theme the company has emphasised in prior quarters as it seeks to improve scale and profitability.
Business Standard reported ahead of the call that Honasa was guiding towards double-digit operating margins in Q1 FY27, helped by operating leverage as revenue scales. The latest transcript indicates management used the call to reinforce that message, presenting the quarter as a continuation of a broader effort to balance growth with margin improvement after a year in which the company had already flagged record revenue and better gross margins.
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