Festive Demand Picks Up as Trent, Nykaa, Honasa Q2 Updates Signal Strong Consumer Spending

Trent, Nykaa and Honasa Consumer are heading into India's main festive shopping quarter with strong growth across fashion, beauty and personal care, with their latest business updates also driving sharp moves in consumer stocks.

Trent shares jumped nearly 11% on Tuesday, October 6, after the Tata Group retailer reported a 23% year-on-year rise in standalone Q2 FY 2026-27 revenue to ₹5,788 crore. Honasa Consumer surged more than 11% intraday after the Mamaearth parent projected net sales value (NSV) growth in the early thirties and an early double-digit operating margin. Nykaa shares had gained more than 6% in the previous session after its Q2 update showed consolidated net revenue growth is expected in the late twenties and NSV growth in the early thirties.

The numbers show strong momentum across discretionary categories before a larger part of this year's festive season is reflected in the October-December quarter. Fashion has been particularly strong, with Nykaa expecting NSV growth in the late forties in the segment, while Trent continued to expand its Zudio network during the September quarter.

Trent's Q2 revenue increased from ₹4,724 crore a year earlier, while revenue for the first six months of FY27 rose 21% to ₹11,454 crore. The retailer also added 10 Westside and 17 Zudio stores on a net basis during the quarter, taking its overall network to 1,342 stores as of September 30.

Zudio crossed 1,000 stores during the period, extending Trent's presence in India's value-fashion market as the company entered the festive quarter.

Nykaa's quarterly update showed growth across both its beauty and fashion businesses. Beauty NSV and net revenue are expected to grow in the late twenties, while like-for-like sales at its physical beauty stores grew in the early twenties, the strongest pace in six quarters.

The retailer added 14 net new beauty stores during Q2, taking the network to 338 stores. Its Fashion business grew faster, with NSV expected to increase in the late forties and net revenue in the early forties.

Honasa Consumer's update showed a similar double-digit trend in personal care. The company expects overall Q2 NSV growth in the early thirties, with Mamaearth expected to grow in the high teens.

Growth at its younger brands is running faster. The Derma Co., Aqualogica, BBlunt and Dr Sheth's are expected to collectively record NSV growth around the mid-forties during the quarter.

The market reaction has reflected the stronger business updates. Trent was headed for its best trading session since August 2024 on Tuesday, while Honasa Consumer touched an intraday high of ₹491.70 after gaining more than 11%.

Festive Quarter Comes Into Focus

The timing of the updates puts the October-December quarter in focus for consumer-facing companies. Nykaa has said a larger part of this year's festive season falls in Q3, shifting some festive-led consumption from the September quarter into the December quarter.

That means the Q2 growth reported by Trent and indicated by Nykaa and Honasa largely precedes the main festive shopping period.

The three updates cover different parts of India's discretionary consumption market- Trent in fashion, Nykaa across beauty and fashion, and Honasa in beauty and personal care as companies enter a quarter that will include a greater share of festive spending.

Full September-quarter results will provide the next set of numbers on whether the sales growth translated into stronger profitability and margins.

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