Bengaluru: Honasa Shopper Ltd, the guardian of non-public care manufacturers Mamaearth, Aqualogica and Dr Sheth’s, mentioned on Thursday it should double down on males’s skincare with the acquisition of D2C model Reginald Males, betting on rising demand for merchandise reminiscent of sunscreens and moisturisers amongst male customers.
The agency introduced on 11 December that it’s going to purchase a 95% stake in Reginald by way of a secondary share buy for ₹195 crore. The transaction is now full, the agency mentioned on Thursday.
“Reginald Males has been a kind of manufacturers that has match completely into our males’s skincare speculation. It has achieved very effectively within the final two years and is presently essentially the most searched sunscreen model (per Google AdWords knowledge),” Varun Alagh, co-founder and chief govt of Honasa, mentioned through the third-quarter earnings name.
Honasa noticed its revenue after tax almost double to ₹50 crore within the December quarter, from ₹26 crore within the year-ago interval. Income from operations rose 16% to ₹601 crore through the interval, up from ₹517 crore in the identical quarter final yr.
Whole bills elevated marginally to ₹550 crore in Q3FY26 from ₹507 crore a yr in the past on account of a change in its direct distribution mannequin which impacted stock.
“Our shift to direct distribution has began to repay strongly. Contribution from our direct distribution community has expanded to 80% (of income), and stock holdings at the moment are optimized at about 30 days, which is wholesome for a fancy stock system like ours,” Alagh instructed analysts.
However with many of the transition full, Honasa expects bills to stay beneath management within the coming quarters.
Honasa had launched a revamped distribution method, dubbed Challenge Neev, within the March quarter of FY24, transitioning to a direct distribution mannequin within the prime 50 cities and lowering its dependency on tremendous stockists.
The corporate mentioned it should proceed to develop its offline distribution community, having reached 270,000 stores in India as of December 2025, in response to its investor presentation. As of the third quarter of FY26, it had a complete of 200 energetic direct distributors and a presence in additional than 9,000 fashionable commerce retailers on the finish of the quarter.
Whereas Honasa continues to discover rising classes like teen cosmetics model Staze and oral care model Fang, it should sharpen its give attention to its core classes, together with face washes, sunscreens, and shampoos.
Annual recurring income from the youthful manufacturers in Honasa’s portfolio, together with Aqualogica, The Derma Co and Dr Sheth’s, grew 25% year-on-year through the quarter, with The Derma Co delivering what the corporate described as a “standout” efficiency. “The Derma Co continues to ship sturdy development, hitting a double-digit Ebitda profile. It continues to drive innovation throughout classes reminiscent of shampoo and sunscreen,” Alagh famous.