Shares of Laxmi Dental Ltd and Honasa Consumer Ltd, the parent company of popular brand Mamaearth, experienced significant surges in Friday's trading session. The boost came after both companies announced their robust financial results for the March 2026 quarter (Q4 FY26), exceeding market expectations.
Laxmi Dental's stock led the rally, jumping an impressive 20% to reach Rs 248.90. The company reported a substantial 135.51% year-on-year (YoY) increase in net profit for Q4 FY26, hitting Rs 10.08 crore, compared to Rs 4.28 crore in the same quarter last year. Sales also saw healthy growth, rising 19.46% YoY to Rs 72.18 crore from Rs 60.42 crore in Q4 FY25.
Honasa Consumer's Strong Performance
Honasa Consumer's shares climbed 10.46%, reaching a new one-year high of Rs 397.65. Financial services firm JM Financial noted that Honasa's Q4 FY26 revenue performance was slightly better than anticipated, while its profitability significantly surpassed estimates.
According to JM Financial, key positives included Mamaearth's sales growing in the mid-teens, while younger brands maintained strong momentum with over 30% YoY growth. The company also achieved significant scale leverage and marketing efficiencies, leading to EBITDA margins expanding to approximately 11%.
Analyst Outlook and Future Growth
Management commentary from Honasa Consumer remains optimistic, expecting to sustain double-digit growth momentum for Mamaearth. This growth is projected to be driven by traction in focused categories, hero SKUs, and continued distribution expansion.
JM Financial reiterated its "BUY" rating for Honasa Consumer, raising its DCF-based target price to Rs 420 from an earlier Rs 375. The brokerage cited the strong Q4 performance, an upbeat outlook, and the impact of the Reginald acquisition as reasons for the increased valuation. The firm's analysis highlighted the promising results of initiatives aimed at reviving Mamaearth's growth and scaling up younger brands, alongside robust execution capabilities and sustained negative working capital.
Faster growth within the higher-margin Mamaearth brand and the successful scale-up of newer brands are expected to provide ample levers for continued margin expansion in the future.