Nykaa‘s share price was upbeat on Thursday as the company’s March quarter results seem to have impressed investors. The stock extended its gaining streak to the third straight session going up around 4% to hit an intraday high of ₹187.35.

What Happened: Nykaa's net profit for the quarter came in at ₹6.9 crore, more than double the ₹2.41 crore posted in the same quarter last year. Revenue from operations for the quarter was ₹1,667.90 crore, up around 28% from ₹1,301.7 crore in the same period last year. EBITDA for the quarter was ₹93.3 crore, reflecting a 32% increase year-on-year, with an EBITDA margin of 5.6%. The gross merchandise value (GMV) reached ₹3,217.2 crore, up 32% year-on-year.

Analyst Reactions: UBS maintained its “neutral” rating for the stock with a price target of ₹210. The brokerage firm said that the company improved revenue and GMV growth but operating leverage was missing. The analysts added that the growth trajectory seen in the March quarter should continue for the year ahead.

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Investec maintained its “buy” rating for the stock raising the price target to ₹203 from ₹182. The brokerage said that the company saw growth acceleration across segments but the pace of margin expansion is still subdued.

HDFC Securities, on the other hand, maintained its “reduce” rating for the stock with a target price of ₹150. The brokerage firm said that the company’s March quarter revenue was mostly in line with estimates. The brokerage also pointed out that ad income is estimated to have declined by 50 basis points year-on-year as brands attempt to balance discounts and ad spends.

Price Action: Nykaa’s share price was up 2.12% to trade at ₹182.15 as the markets opened on Thursday.

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