Brainbees Solutions, the parent company of mother-and-baby care retailer FirstCry, reported a sharp increase in net loss for the third quarter of FY ’26, as higher expenses linked to the expansion of its rapid-delivery service weighed on profitability.
The Pune-based company posted a net loss of Rs 38 crore (US $ 4.19 million) in the December quarter, compared with Rs 14.7 crore (US $ 1.62 million) in the corresponding period last year. Operating revenue, however, rose 11.6% year-on-year to Rs 2,423 crore (US $ 267 million), up from Rs 2,172 crore (US $ 239 million) a year earlier.
Total expenses increased 12.7% to Rs 2,327 crore (US $ 256 million) in Q3, against Rs 2,064 crore (US $ 227 million) in the year-ago period, reflecting investments in scaling up its quick-delivery operations.
On a sequential basis, the performance showed improvement despite relatively subdued consumer sentiment. Net loss narrowed 24% from Rs 50.5 crore (US $ 5.57 million) in the second quarter of FY ’26, while operating revenue rose 15.5% quarter-on-quarter from Rs 2,099 crore (US $ 231 million).
At the pre-tax level, the company slipped to a loss of Rs 5.2 crore (US $ 573,000) in the December quarter, compared with a profit of Rs 6.9 crore (US $ 761,000) in the same period last year.
FirstCry’s India multi-channel and international businesses together recorded a gross merchandise value (GMV) of Rs 3,424 crore (US $ 377 million) in the third quarter, marking a 10% year-on-year increase. GMV refers to the total value of goods sold across platforms during a specific period.
The company also expanded its rapid-delivery service, Rocketbees, to 22 cities in the December quarter, up from 13 cities previously. In the quick-delivery segment, FirstCry faces competition from established quick commerce platforms as well as newer entrants such as Ozi and Peeko.
During an analyst call, Supam Maheshwari, Chief Executive of FirstCry, said there was a “quick commerce frenzy”, with companies seeking to capitalise on the trend. He noted that many competitors were operating out of single dark stores in NCR or Bengaluru and described the segment as a contest of unit economics amid intensifying competition.
He further stated that it would be difficult for new entrants in the quick commerce baby and kids’ space to replicate the scale and capabilities built by established players.
Backed by global investors including SoftBank and Premji Invest, FirstCry offers a wide portfolio spanning apparel, footwear, baby care, nursery products, nappies, toys and personal care items, including both in-house brands and domestic and international third-party labels.
