Marico-owned Beardo has made a strong comeback in FY24, registering an impressive 62.4% year-on-year growth after a challenging FY23. The male grooming brand reported a revenue of Rs 173.2 crore in FY24, up from Rs 106.6 crore in the previous fiscal year, while also returning to profitability.
Beardo’s product range, which includes beard oils, combs, waxes, face washes, soaps, and lotions, played a pivotal role in this growth. These items, sold through its website, marketplaces, and retail outlets, formed the bulk of its revenue. The firm’s procurement costs, representing 40% of total expenditure, increased by 83.2%, reaching Rs 67.5 crore in FY24 compared to Rs 36.8 crore in FY23.
Despite an overall expenditure hike of 46.1%, which rose to Rs 168.4 crore in FY24, Beardo maintained controlled spending on advertising (Rs 43.89 crore) and employee benefits (Rs 12.5 crore). These factors, coupled with operational efficiency, contributed to a profit of Rs 3.63 crore, a significant turnaround from the Rs 6.1 crore loss in FY23. Beardo’s ROCE and EBITDA margins for FY24 stood at 75.58% and 4.21%, respectively, with a unit cost of Rs 0.97 per rupee earned.
Beardo competes with brands like Ustraa, The Man Company, and Bombay Shaving Company. Ustraa reported Rs 94.02 crore in revenue with a Rs 50 crore loss in FY24, while Bombay Shaving Company earned Rs 182 crore in FY23 and aims for Rs 260-280 crore in FY24. The Man Company recorded Rs 115 crore in FY23 but is yet to disclose its FY24 results.
Leveraging its parent company Marico’s distribution and marketing expertise, Beardo has not only solidified its position in men’s grooming but also ventured into the women’s category with high-margin perfumes. This strategic diversification, combined with its core focus on beard grooming, positions the Ahmedabad-based firm for sustained growth.
As the D2C and personal care market gears up for consolidation, Beardo is well-poised for further expansion. With the right strategies and a bit of market momentum, the company could potentially double its revenues by FY27, building on the lessons and successes of recent years.
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