FirstCry's FY26 Revenue Jumps 12% to ₹8,547 Crore; EBITDA Surges 24%

FirstCry (Brainbees Solutions Ltd) has reported its full-year financial results for FY26, with consolidated revenue reaching ₹8,547 Crore, marking a 12% year-on-year increase.
Consolidated adjusted EBITDA saw a significant rise of 24%, hitting ₹486 Crore.

Reader Takeaway: Sustainable growth shown with double-digit revenue and EBITDA increases, but competitive intensity in diapers is a watch point.

What just happened

Brainbees Solutions Ltd, operating the online retail platform FirstCry, announced its financial performance for the fiscal year ended March 2026. The company achieved consolidated revenue of ₹8,547 Crore, a 12% increase compared to the previous year. Its consolidated adjusted EBITDA grew by 24% to ₹486 Crore. The consolidated cash profit also saw a substantial jump of 49% year-on-year, reaching ₹312 Crore.

In the fourth quarter of FY26, consolidated adjusted EBITDA was ₹118.7 Crore, an 18% increase quarter-on-quarter. Consolidated cash profit for Q4 FY26 stood at ₹72.3 Crore, up 4% from the previous quarter.

Why this matters

The results indicate FirstCry's ability to grow its top line while improving profitability. The management's focus on sustainable growth, rather than aggressive expansion at any cost, is a positive signal for investors. Key operational milestones, such as the India multi-channel business crossing the $1 billion Gross Merchandise Value (GMV) and the expansion of logistics initiatives, are crucial for future efficiency and customer experience.

The backstory

FirstCry has been expanding its reach and operational capabilities. The company's multi-channel strategy in India and its e-commerce enablement platform, GlobalBees, are key growth drivers. Investments in logistics infrastructure like RocketBees aim to improve delivery times and reduce costs. The company also pilots quick commerce initiatives like FirstCry Qwik.

What changes now

With these results, FirstCry aims to build on its growth momentum in FY27. Management expects superior growth in FY27, driven by the maturation of its logistics initiatives. The company plans to recover margin losses from manufacturing costs (due to rupee depreciation and raw material price hikes) by Q2 FY27. Additionally, FirstCry intends to open around 100 new stores in FY27 using both company-owned and franchise models.

Risks to watch

Increased competitive intensity, particularly in the diapering category, poses a challenge. Management noted this as an industry-wide issue that may take time to stabilize. Macroeconomic factors like rupee depreciation and volatile raw material prices have impacted manufacturing gross margins, although recovery is anticipated. The increasing costs associated with logistics expansion are also a near-term concern, with an estimated impact of 40-60 basis points on margins for a few quarters.

Peer comparison

While specific comparable data was not provided in the filing, FirstCry operates in the competitive e-commerce space, facing rivals in baby care, fashion, and general merchandise. Its unique multi-channel approach and focus on brand aggregation through GlobalBees differentiate it from pure-play e-commerce platforms.

Context metrics (time-bound)

• FY26 Consolidated Revenue: ₹8,547 Crore (12% YoY growth)
• FY26 Consolidated Adjusted EBITDA: ₹486 Crore (24% YoY growth)
• FY26 Consolidated Cash Profit: ₹312 Crore (49% YoY growth)
• India multi-channel business crossed $1 billion GMV in FY26.
• RocketBees logistics initiative covers 62 cities by Q4 FY26.
• FirstCry Qwik pilot expanded to 5 cities.

What to track next

Investors will be closely watching the progress of gross margin recovery in the India multi-channel business, the impact of portfolio rationalization in GlobalBees, and the successful scaling of logistics initiatives to drive cost efficiencies and profitability in FY27. The company's ability to navigate competitive pressures and macroeconomic headwinds will be key.