Brainbees Solutions Limited (FirstCry) held its Q4 and FY26 earnings call on May 26, 2026. The company reported positive free cash flow for the full year FY26, with revenue growing 12% YoY and adjusted EBITDA increasing by 24% YoY. Net losses saw significant reductions, down 57% in Q4 and 23% for the full year. Key initiatives in India multi-channel and international business show promising growth trajectories.
Key Financial Highlights for FY26
Brainbees Solutions Limited (FirstCry) announced its financial results for the fourth quarter and full fiscal year ended March 31, 2026. The company achieved a positive free cash flow for the entire fiscal year FY26. Consolidated revenue saw a year-on-year increase of 12%, while adjusted EBITDA grew by 24%. Net losses were considerably reduced, with a 57% decrease in Q4 and a 23% reduction for the full year FY26.
India Multi-Channel Business Performance
The India multi-channel segment reported an 11.4% growth in Q4, attributed to competitive intensity and the successful launch of offline channel initiatives. The company expects this growth trajectory to continue into FY27. For the full year FY26, the India multi-channel business remained PAT and cash flow positive. Key initiatives like RocketBees have expanded to 62 cities, delivering over 40% of online delivery volumes. The Qwik initiative, focusing on deliveries under 3 hours, has expanded to 5 cities and aims for roughly 10% of overall online business by FY27. Offline business saw a 15% GMV growth in Q4, driven by assortment strategy adjustments.
International Business Progress
In the international segment, FirstCry continues to focus on sustainable growth despite promotional pressures. Adjusted EBITDA losses were reduced by 33% in Q4 and 35% for the full year FY26. The company is working towards building a sustainable business model with improved gross margins and home brand expansion. The Middle East business is showing signs of improvement, with a focus on capital efficiency and potential double-digit growth in FY27.
GlobalBees Segment Growth
The GlobalBees segment delivered a strong quarter with 28% core category year-on-year growth in FY26, generating approximately 92 Crores in adjusted EBITDA post-corporate expenses. The segment’s revenue grew by 20% overall for the full year. Efforts are underway to rationalize the brand portfolio, focusing on units with strong growth and profitability potential.
Preschool Business Expansion
The preschool business (Others segment) continues to show robust growth, expanding from 208 preschools at the end of FY24 to more than double by the end of FY26. The number of students enrolled has increased by approximately 3 times in two years. Revenue grew by 11% in FY26, with EBITDA improving to 27%.
Focus on Profitability and Sustainability
FirstCry emphasizes a strategy of sustainable growth, focusing on top-line optimization and gross margin expansion. The company is actively working on cost efficiencies, revenue expansion, and margin enhancement, with artificial intelligence playing a multifaceted role in these areas. While facing some margin pressures, particularly in the diapering category due to competitive intensity and input cost fluctuations, the company is confident in its strategies to recover and achieve superior growth in FY27.
Q4 Snapshot
For Q4 FY26, the consolidated GMV grew by 10%, and revenue from operations increased by 12%. Consolidated adjusted EBITDA grew by 18% to 118.7 Crores, and cash profits increased by 4% to 72.3 Crores.
Source: BSE
