FSN E-Commerce Ventures Limited (Nykaa) has allotted 3,70,900 equity shares under its Employee Stock Option Scheme on February 12, 2026. The allotment was approved by the Nomination and Remuneration Committee and has increased the company's issued and paid-up share capital. The newly issued shares will have equal rights with existing equity shares, and the development has been communicated to stock exchanges in compliance with SEBI regulations.

Nykaa Allots 3,70,900 Equity Shares Under Employee Stock Option Scheme

Nykaa Announces Employee Stock Option Scheme Allotment

The Board of Directors of FSN E-Commerce Ventures Limited, the parent company of Nykaa, has approved the allotment of 3,70,900 equity shares to its employees under the Employee Stock Option Scheme (ESOP).

Share Allotment Details

Shares Allotted: 3,70,900 equity shares
Allotment Date: February 12, 2026
Approving Authority: Nomination and Remuneration Committee
Scheme: Employee Stock Option Scheme

Impact on Share Capital

Consequent to this allotment, the issued and paid-up share capital of FSN E-Commerce Ventures Limited has increased. The newly allotted equity shares will rank pari-passu with the existing equity shares of the company in all respects, ensuring equal rights and privileges for all shareholders.

Regulatory Compliance

The company has submitted this intimation to the National Stock Exchange of India Limited and BSE Limited in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Employee Benefits Program

This ESOP exercise demonstrates the company's commitment to its employee benefits program and provides employees with an opportunity to participate in the company's growth. The Employee Stock Option Scheme serves as an important tool for talent retention and aligning employee interests with shareholder value creation.

Nykaa Achieves Record Financial Performance

Key Highlights

Consolidated EBITDA Margin: 8.00% of net revenue
Year-over-Year Growth: 63.00% increase
Achievement Status: Highest EBITDA margin to date
Long-term Outlook: Confident about margin growth

Strategic Outlook and Market Position

Nykaa's leadership has expressed optimism about leveraging artificial intelligence and digital marketing to enhance business performance across its operations. The company expects AI and digital marketing initiatives to boost conversion rates and improve overall results, representing a key component of its strategy to enhance customer engagement and drive business growth in the competitive beauty and personal care market.

Guidance Challenges

Despite achieving record EBITDA performance and expressing confidence about long-term EBITDA margin growth in the beauty sector, Nykaa faces challenges in providing specific gross profit margin guidance. The company's management continues to highlight the complexity of providing precise financial forecasts, reflecting the dynamic nature of the retail and e-commerce landscape where rapid changes in consumer behavior and market conditions can make accurate forecasting challenging.