Bengaluru, Aug. 4 -- Nykaa said on Tuesday its rapid-delivery beauty offering Nykaa Now has achieved sufficient scale without hurting profitability, with higher purchase frequency and steady basket sizes offsetting the higher costs of quick commerce, as the company looked to ease investors' concerns around the economics of the format.

The service has expanded to 13 cities from just 3 a year earlier and is expected to reach 25 cities by the end of fiscal year 2027 (FY27), supported by Nykaa's network of 324 stores across 105 cities that serve as hyperlocal fulfilment hubs. Nykaa Now currently offers more than 1,000 beauty and personal care brands, according to the company's investor presentation.

"We don't think this will be dilutive. Th...