The Derma Co, a brand under Honasa Consumer, achieves an annual revenue run rate of Rs 500 crore.

Honasa Consumer, the parent company of popular beauty and personal care brand Mamaearth, announced that its skincare brand, The Derma Co, has reached an annual revenue run rate (ARR) of Rs 500 crore. This metric forecasts a company's financial performance over a year based on past earnings data. In the active ingredients skincare market, The Derma Co competes with brands like Minimalist and Plum, backed by Peak XV Partners and A91 Partners respectively, as well as global brands such as The Ordinary and Cetaphil.

During the October-December quarter, Honasa reported that The Derma Co achieved profitability at an operating level for the first nine months of fiscal 2024. Last September, it was reported that The Derma Co, launched in 2020, surpassed the Rs 350 crore mark in the June quarter of FY24, becoming the second brand in Honasa Consumer's portfolio to do so after Mamaearth.

Honasa Consumer operates seven brands, including Mamaearth, The Derma Co, Bblunt, Ayuga, Aqualogica, Dr Sheth’s, and the recently introduced color cosmetics brand Staze. In August of the previous year, the hydration-based skincare brand Aqualogica achieved an ARR of Rs 150 crore.

Varun Alagh, cofounder, chairman, and chief executive of Honasa Consumer Limited, attributed their success to a thorough understanding of evolving consumer demands and the ability to innovate quickly to provide unique offerings. He highlighted their focus on excellence, which has allowed them to set new standards in the active ingredient-based skincare segment.

For the quarter ending December, the company reported a 265% increase in consolidated net profit, reaching Rs 26 crore compared to Rs 7.1 crore the previous year. Revenue from operations in the third quarter grew by 28% year-on-year to Rs 488 crore, up from Rs 382 crore in the same quarter of the previous year.