Check Before You Invest : FSN E-Commerce Ventures Ltd

BSE: 543384 NSE: NYKAA ISIN: INE388Y01029

| Sector: Retail | Industry: e-Commerce

Snapshot

Q.1 Which industry/sub-sector does FSN E-Commerce Ventures Ltd belong to?

FSN E-Commerce Ventures Ltd belongs to the Retail sector, operating specifically within the e-Commerce segment.

Q.2 Is FSN E-Commerce Ventures Ltd a good quality company?

FSN E-Commerce Ventures Ltd is a average quality company, based on a somewhat consistent 7-year financial track record.

Q.3 Is FSN E-Commerce Ventures Ltd undervalued or overvalued?

FSN E-Commerce Ventures Ltd appears Fair, as its key valuation ratios are in line with their past averages.

Q.4 Is FSN E-Commerce Ventures Ltd a good buy now?

FSN E-Commerce Ventures Ltd is a neutral opportunity now, based on stable price trend analysis suggesting prices may move sideways. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of FSN E-Commerce Ventures Ltd?

FSN E-Commerce Ventures Ltd revenue growth is 24.5% for FY-2025, which is below its 5-year CAGR of 35.08%, indicating slower growth.

Q.2 Return on capital employed (ROCE) of FSN E-Commerce Ventures Ltd?

FSN E-Commerce Ventures Ltd Return on capital employed is 11.21% for FY-2025, which is above its 5-year historical median of 8.07%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 11.25%, indicating value preservation.

Q.3 Return on Asset of FSN E-Commerce Ventures Ltd?

FSN E-Commerce Ventures Ltd Return on Asset is 2.15%, which is in line with its 5-year historical median of 2.15%, indicating stable asset utilization efficiency.

Q.4 Return on Equity (ROE) of FSN E-Commerce Ventures Ltd?

FSN E-Commerce Ventures Ltd Return on equity is 5.9% for FY-2025, which is above its 5-year historical median of 4.58%, indicating the business is making better use of its shareholders capital.

Q.5 Cash conversion cycle of FSN E-Commerce Ventures Ltd?

FSN E-Commerce Ventures Ltd Cash conversion cycle is 46 days, in line with its 5-year historical median of 46 days, indicating stable working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover	2.32	2.12
ROE	5.9	4.58
ROCE	11.21	8.07
Cash Conversion Cycle	46 days	46 days

Q.6 Gross Profit margin of FSN E-Commerce Ventures Ltd?

FSN E-Commerce Ventures Ltd Gross profit margin which is the profit after deduction of direct costs, is 5% for FY-2025, which is above its 5-year median of 4.6%, indicating increasing margins.

Q.7 Operating Profit Margin of FSN E-Commerce Ventures Ltd?

FSN E-Commerce Ventures Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 5.97% for FY-2025, which is above its 5-year median of 5.43% indicating increasing margins.

Q.8 Net Profit Margin of FSN E-Commerce Ventures Ltd?

FSN E-Commerce Ventures Ltd Net Profit Margin is 0.93% for FY-2025, is in line with with its 5-year median of 0.93%, indicating stable margins.

	Current Level	5-year Historic Median
Gross Profit Margin	5	4.6
Operating Profit Margin	5.97	5.43
Net Profit Margin	0.93	0.93

Q.9 Debt to Equity ratio of FSN E-Commerce Ventures Ltd?

FSN E-Commerce Ventures Ltd Debt-to-Equity ratio is 0.76, which is above with the industry average of 0.22, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of FSN E-Commerce Ventures Ltd?

FSN E-Commerce Ventures Ltd Debt to cash flow from operations is 2.06, which is at a moderate level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of FSN E-Commerce Ventures Ltd?

Promoters hold 52.09% of the FSN E-Commerce Ventures Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of FSN E-Commerce Ventures Ltd vs industry peers?

FSN E-Commerce Ventures Ltd revenue CAGR is 35.08%, compared to the industry median CAGR of 35.08%, indicating slower growth and losing its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	24.5	35.1
Gross Profit Growth	34.5	51.1
Operating Profit Growth	36.9	40.8
Net Profit Growth	68.2	-

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	2.32	1.86
ROE	5.9	-157.26
ROCE	11.21	-33.29
Cash Conversion Cycle (days)	46.5	-12

Valuation & price assessment

Q.1 Stock return of FSN E-Commerce Ventures Ltd over the last decade?

Over the last 3 year(s), the stock has delivered a CAGR of 26.76% based on the current price.

Q.2 What return has the stock given over the last decade?

	9Y	5Y	3Y	1Y
Share Price CAGR	-	-	26.8%	35.6%

Q.3 Valuation ratios of FSN E-Commerce Ventures Ltd vs historical?

The current P/E is lower that its historical median.

Q.4 How do the current valuation ratios compare with 5-year historical median and industry numbers?

Valuation Ratios	Current	5-year Historic Median	5-year Industry Median
Price to Earnings	536.66	849.73	31.95
Price to Book	52.1	39.90	5.00
Price to Sales	8.04	7.95	7.87
EV to EBITDA	110.21	129.37	18.73

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