The Man Company, the men’s grooming arm acquired by Emami, reported a challenging FY25 as revenue fell to ₹154 crore from ₹183 crore a year earlier and the company moved from a net profit to a ₹22 crore loss, highlighting mounting pressure on direct-to-consumer (D2C) players in India’s competitive men’s grooming segment.
Revenue contraction amid intensifying competition
Operating revenue for FY25 declined by about 16%, driven by softer demand in the premium men’s grooming category that includes beard care, skincare, perfumes and other grooming essentials. Product sales remain the primary income source, supplemented by modest shipping and ancillary receipts.
The premium men’s grooming space has seen increasing rivalry from well‑funded startups and established FMCG firms expanding into men‑focused portfolios, exerting pressure on market share and pricing for D2C specialists.
Cost escalation dents profitability
While top line fell, total expenditure rose to roughly ₹177 crore in FY25. Advertising and promotional spends jumped to around ₹43 crore — almost three times the prior year — reflecting heavy investment in customer acquisition.
Material costs climbed to nearly ₹29 crore and depreciation also increased, adding to cost burdens. The combination of higher marketing outlays, discounting and rising input costs compressed margins and pushed EBITDA into negative territory.
From profit to loss
The widening gap between revenue and expenditure resulted in a net loss of ₹22 crore in FY25, compared with a net profit of ₹9 crore in FY24. Management indicated that customer acquisition economics weakened substantially, with reports suggesting the company spent more than ₹1 to earn each ₹1 of revenue during the year.
Liquidity and near‑term outlook
At year‑end, The Man Company held modest cash and bank balances and current assets that provided some operational cushion. Nevertheless, sustained losses would constrain financial flexibility if revenue recovery does not materialise in the near term.
Industry analysts say India’s men’s grooming market retains long‑term growth potential, supported by urbanisation, rising disposable incomes and greater personal grooming awareness among younger consumers. Realising that potential, however, will require disciplined unit economics, sharper product differentiation, expanded offline distribution and judicious marketing spends.
Implications for Emami and strategic priorities
The FY25 setback is notable for Emami— which acquired a majority stake in The Man Company to strengthen its digital‑first, premium grooming portfolio. Moving into FY26, priorities are likely to include stabilising revenue, recalibrating marketing budgets, improving customer acquisition cost efficiency and restoring profitability.
How effectively the brand balances growth investments with cost controls will be watched closely by industry participants and investors as it seeks to regain momentum in a crowded market.
