FirstCry Cuts Losses 75% to Rs 12.6 Crore as Revenue Hits Rs 2,396 Crore

FirstCry narrowed its net loss by 75% to Rs 12.6 crore in Q2 FY27, down from Rs 50.5 crore a year earlier, while revenue from operations climbed 14.1% to Rs 2,396 crore. Brainbees Solutions, the Pune-based parent of the kids-focused omnichannel retailer, disclosed the figures in its quarterly results.

The growth is broad-based, not just a one-quarter bounce. Sequentially, revenue from operations rose 13.8% from Rs 2,106 crore in Q1 FY27. The year-ago quarter, Q2 FY26, stood at Rs 2,099 crore. FirstCry also booked Rs 42 crore in other income, lifting total income to Rs 2,438 crore for the quarter.

What changed on the cost side?

Discipline in two large cost lines drove the profit improvement. Employee benefit expenses fell 10.8% year-on-year to Rs 181 crore, from Rs 203 crore in Q2 FY26. Finance costs also declined, settling at Rs 39 crore, and depreciation expenses edged down 1.5% to Rs 97 crore.

Not every line contracted. Material procurement, the company's largest expense head, rose 16.9% to Rs 1,554 crore in Q2 FY27 from Rs 1,329 crore a year earlier — outpacing revenue growth. Other expenses climbed 12.6% to Rs 568 crore from Rs 504.5 crore in the year-ago period.

Taken together, total expenses increased 12.3% year-on-year to Rs 2,439 crore, against Rs 2,171 crore in Q2 FY26. That 12.3% cost growth against 14.1% revenue growth is the arithmetic behind the sharply narrower loss.

How does the first half look?

The six-month picture confirms the trend. For H1 FY27, FirstCry's revenue from operations grew 13.6% to Rs 4,502 crore, up from Rs 3,962 crore in H1 FY26. The net loss for the half-year narrowed 51.7% to Rs 56.54 crore, compared with Rs 117 crore in the corresponding period last year.

The numbers tell a consistent story:

• Q2 FY27 revenue from operations: Rs 2,396 crore, up 14.1% year-on-year and 13.8% quarter-on-quarter
• Q2 FY27 net loss: Rs 12.6 crore, down 75% from Rs 50.5 crore
• H1 FY27 revenue from operations: Rs 4,502 crore, up 13.6%
• H1 FY27 net loss: Rs 56.54 crore, down 51.7% from Rs 117 crore
• Total income in Q2 FY27: Rs 2,438 crore, including Rs 42 crore of other income

What's the so-what?

A Rs 12.6 crore quarterly loss on Rs 2,396 crore of revenue puts FirstCry within touching distance of quarterly breakeven — a meaningful marker for an omnichannel retailer that has spent years scaling both online and physical stores. If procurement costs, which grew faster than revenue, can be held in check while the leaner employee and finance cost base holds, the company enters the second half of FY27 with a credible shot at posting its first profitable quarter.