Brainbees Solutions, the parent company of infant and mothercare retailer FirstCry, reported a challenging quarter as its consolidated net loss surged 2.5 times year-on-year (YoY) to ₹111.5 crore in Q4 FY25, compared to ₹43 crore in the same quarter last year.
The losses were amplified by a one-time exceptional charge of ₹36.7 crore during the March quarter.
Revenue Trends
Despite the quarterly setback, the Pune-based company’s full-year net loss narrowed by 18% to ₹264.8 crore in FY25, down from ₹321.5 crore in FY24. On a positive note, consolidated operational revenue rose 16% YoY to ₹1,930.3 crore for Q4 FY25, signalling sustained growth in its core business.
While revenue rose 16% YoY from ₹1,668.9 crore in Q4 FY24, it declined 11% sequentially from ₹2,172.3 crore in the previous quarter. The company attributed the weaker March quarter performance to a temporary dip in offline sales. Gross merchandise value (GMV) from offline channels rose marginally to ₹466.9 crore in Q4 FY25, up from ₹443 crore in the year-ago period, reflecting cautious consumer sentiment in physical retail.
During the earnings call, CEO Supam Maheshwari acknowledged operational challenges, noting, “We believe we should have delivered stronger results in both our India multi-channel and international business segments. However, the other two segments performed well. We aim to accelerate EBITDA margin expansion in GlobalBees, given the business’s current scale. Additionally, within the India multi-channel segment particularly offline operations we are committed to driving better performance.”
Investments and International Growth
FirstCry’s board has approved an investment of up to ₹146 crore in GlobalBees through compulsorily convertible preference shares (CCPS) to meet capital requirements.
Additionally, its wholly owned UAE subsidiary, Firstcry Management DWC LLC, will invest approximately ₹74 crore in Firstcry Trading Company, KSA, and Firstcry Retail DWC LLC, UAE, to support business expansion in the Middle East.
The company highlighted that the gross margin of its international operations has reached 23.3% in its fourth year— a milestone that took seven years to achieve in the Indian market.
Expressing optimism about the overseas business, Maheshwari stated, “Our key brands in the global business are expanding at a rate of more than 30%, and we remain confident this momentum will continue in the coming years.”
