Mamaearth shares surge 20% after Q2 profit almost doubles
Honasa Consumer's shares were offered at a price band of Rs 302-328 during the pre-placement offer, which was subscribed 7.61 times on the final day.
Shares of Honasa Consumer—the parent company of , , , and —surged nearly 20% on Thursday, a day after the Mumbai-based direct-to-consumer brand reported a 94% jump in year-on-year net profit in the quarter ended September 2023.
The firm’s shares hit the upper circuit of Rs 423.75 as of 1:25 pm IST on Thursday, up nearly 30% from the listing price of Rs 328 apiece.
Honasa’s revenue from operations rose 21% to Rs 496.1 crore in the quarter under review, while total expenditure increased by 18% year-over-year to Rs 463.9 crore. Other expenses, which accounted for nearly 58% of the firm’s overall expenditure, stood at Rs 267.3 crore in the second quarter of the fiscal year.
On a half-yearly basis, Honasa Consumer’s net profit zoomed nearly eight times to Rs 55.4 crore from Rs 7.69 crore in the first half of last year. Revenue from operations in the first six months of 2023 stood at Rs 960.5 crore against Rs 722.7 crore last year.
Honasa’s shares were offered at a price band of Rs 308-Rs 328 during the pre-placement offer which was held between October 30 and November 1. The offer was subscribed 7.61 times on the final day of the book-building, with institutional investors providing the boost.
The IPO, which had a slow start on day one, received an overwhelming response from investors on day three, with bids of 22 crore shares as against an offer of 2.8 crore shares, according to data available with Indian stock exchanges.
Edited by Affirunisa Kankudti