Honasa Consumer, the parent company of Mamaearth, is aiming for a much bigger future after sharing its long-term growth plans for FY31. The company’s stock recently touched a 52-week high of ₹425, showing strong investor confidence in its strategy for the coming years.
Founded by Varun and Ghazal Alagh, Honasa is now moving from a fast-growing startup to a more mature and profitable FMCG company. Through its new vision, called “Honasa 2.0”, the company plans to expand its brands, improve profitability, increase its retail presence, and use technology to drive growth.
Honasa Sets Ambitious Revenue and Brand Targets
At its Investor Day event, Honasa shared a roadmap focused on achieving strong growth by FY31. One of its biggest goals is to become the fastest Indian FMCG company to cross ₹5,500 crore in revenue.
The company also wants to strengthen its portfolio of beauty and personal care brands. Mamaearth is expected to grow into a brand with more than ₹2,000 crore in annual revenue. Skincare brand The Derma Co. is being targeted to cross ₹1,500 crore in revenue, while at least two other brands are expected to generate over ₹500 crore each.
Honasa is also looking to become a market leader in skincare. It aims to secure the top position in at least two skincare categories and rank among the top three in two more categories.
Profitability is another major focus. The company plans to increase its EBITDA margin to more than 15% by FY31. It expects this improvement to come from better marketing efficiency, a stronger mix of offline and quick-commerce sales, lower operating costs, and a greater focus on high-margin products.
These goals reflect Honasa’s effort to balance growth with sustainable profits.
AI, Retail Expansion and Faster Brand Building at the Core
Technology is expected to play a key role in Honasa’s future plans. The company has already introduced more than 30 AI-powered agents across different business functions. These tools help teams make faster decisions and monitor performance in real time.
Honasa is also changing the way it approaches marketing. Instead of relying only on yearly plans, it is using weekly data-driven strategies. The company is increasingly focusing on user-generated content, which is often seen as more authentic and cost-effective than traditional influencer campaigns.
Offline expansion is another important part of the plan. Honasa currently reaches around 120,000 retail stores directly across India. By FY31, it wants to expand that number to more than 300,000 outlets.
The company is also working on a new brand-building strategy. Earlier, new brands typically took around four years to reach profitability. Under the new model, Honasa expects brands to achieve contribution margin neutrality within just two years.
These changes are designed to help the company scale faster while maintaining healthy margins.
Acquisitions, Legal Wins and Strong Financial Growth Boost Confidence
Alongside its growth strategy, Honasa has made several investments and acquisitions to strengthen its business.
In December 2025, the company acquired a 95% stake in men’s personal care brand Reginald Men for an enterprise value of ₹195 crore. The brand has built a strong presence in South India and operates with healthy profit margins.
A month earlier, Honasa invested ₹10 crore in Fang Oral Care, acquiring a 25% stake in the company. The investment gives Honasa exposure to the growing premium oral care and oral beauty market.
The company had also acquired Cosmogenesis Labs in 2024. The deal brought research and development capabilities in-house and expanded Honasa’s product innovation team.
Honasa also secured important legal victories during the past year. In one case, the Delhi High Court directed changes to certain sunscreen advertisements that allegedly targeted products from The Derma Co. The company also won a favourable ruling in a Dubai arbitration dispute, which significantly reduced a financial award against it.
Its financial performance has further strengthened investor confidence. During the third quarter of FY26, Honasa reported 16% year-on-year revenue growth, while EBITDA jumped 151%. Mamaearth returned to double-digit growth, and The Derma Co. crossed the ₹750 crore annual recurring revenue mark.
With strong financial results, new acquisitions, advanced technology adoption, and clear long-term goals, Honasa Consumer is looking to build a larger and more profitable business over the next five years. The company’s FY31 roadmap signals its ambition to become one of India’s leading beauty and personal care companies.