Honasa Consumer shares zoom 14% after Q4 results; details here

Shares of Mamaearth's parent Honasa Consumer Ltd witnessed a significant uptick in Friday's trading session after sharing quarterly results. The stock soared 14.07 per cent to hit a high of Rs 314.20. 

The company posted a net profit of Rs 24.9 crore for the January-March 2025 quarter (Q4 FY25), down 18 per cent from Rs 30.5 crore in the year-ago period.

Revenue from operations, however, climbed 13 per cent year-on-year (YoY) to Rs 533.5 crore in Q4 FY25 from Rs 471 crore in the corresponding period last fiscal.

JM Financial said Honasa's Q4 FY25 earnings print was above expectations both on revenue and profitability. The brokerage has maintained its buy call on the counter with a revised target price of Rs 300.

"Newer brands maintained strong sales growth (up 30 per cent) trajectory in the quarter. On the profitability front, management expects margin trajectory to improve in FY26 (up 250 basis points (bps) versus FY25 levels and achieve FY24 margins of c.7 per cent by Q4 FY26)," JM stated.

B&K Research also mentioned that the company's overall performance was ahead of street expectations, driven by strong volume and improving traction across core categories.

Honasa's volume growth during the quarter stood at around 21.2 per cent, reflecting strong consumer traction.

Technically, the stock traded higher than the 5-day, 10-, 20-, 30-, 50-, 100-day and 150-day simple moving averages (SMAs) but lower than the 200-day simple moving average (SMA). Its 14-day relative strength index (RSI) was 85.08. A level below 30 is defined as oversold while a value above 70 is considered overbought.

As per BSE, the stock has a price-to-earnings (P/E) ratio of 147.71 against a price-to-book (P/B) value of 8.75. Earnings per share (EPS) stood at 2.10 with a return on equity (RoE) of 5.91. According to Trendlyne data, Honasa has a one-year beta of 0.7, indicating low volatility.

As of March 2025, promoters held a 35.03 per cent stake in the firm.