FirstCry Parent Brainbees Solutions Narrows Net Loss by 70% to ₹14.7 Crore– Growth & Stock Analysis
Business and Industry Overview:
Brainbees Solutions Ltd., or FirstCry, is India’s largest store for mothers’, babies’, and kids’ products. It sells products online, in its stores, franchise stores, and through other retailers. FirstCry started in 2010 to make shopping easy for parents. “FirstCry” comes from a baby’s first cry, a special moment for parents. The company wants to help parents at every step, from pregnancy until their child turns 12 years old. FirstCry has a huge variety of products like baby clothes, diapers, feeding bottles, toys, books, furniture, and more. It sells products from top Indian and global brands, along with its brands. One of its brands, BabyHug, is the biggest baby and kids’ brand in India (as per the RedSeer Report, 2022). FirstCry is not only in India but also in the UAE and Saudi Arabia (KSA). It opened in the UAE in 2019 and in KSA in 2022. In both countries, it is the biggest online store for mothers’, babies’, and kids’ products. FirstCry follows the same business model in these countries as it does in India. Parents buy baby products regularly because babies grow fast and need new clothes, diapers, and other essentials. FirstCry benefits from this because parents keep coming back to buy more as their children grow. The company also helps other brands grow. Many Indian and international brands use FirstCry’s stores, website, and delivery system to sell their products across India. FirstCry is a fast-growing company. In FY23, it earned ₹2,541.89 crore, up from ₹1,752.39 crore in FY22. It is listed on the BSE and NSE stock markets, with a market value of ₹32,630.73 crore (as of October 2024). The company’s Managing Director is Supam Maheshwari. It has built trust with parents by offering quality products, easy shopping, and great service. It is growing in India and other countries, helping parents make the best choices for their children.
The baby care market in India is growing very fast. More parents are using baby products than before. This is because India has a large population and a high birth rate. More people now have better incomes to spend on their children. Parents do not buy baby products just because of advertisements. They search online before making a choice. They read reviews, ask friends, and compare different products. They want to be sure they are buying the best and safest items for their babies. Parents are also more concerned about safety than before. Many baby products contain harmful chemicals. Parents do not want to take risks with their child’s health. They now prefer natural, organic, and Ayurvedic products. This has increased the demand for safe baby lotions, shampoos, diapers, and food products. Many parents carefully check product ingredients before buying. The rise of online shopping has changed the baby care market. Websites like FirstCry, BabyOye, Hopscotch, and MyBabyCart sell baby products online. Parents can order from home and get products delivered. It is easy and convenient. Many physical stores and franchise shops are also growing. Some parents still like to see and touch products before buying. One important thing about this market is repeat purchases. Babies grow quickly. Parents need to buy new clothes, diapers, food, and toys again and again. More than 50% of parents return to buy products from the same brand. This makes baby care a strong and stable business.
The future of the baby care market is bright. Parents are learning about safe ingredients and high-quality products. They prefer brands that do not use harmful chemicals. Earlier, only parents in big cities cared about this. Now, even rural parents are aware. The internet has helped them learn about safe and trusted baby products. There are many opportunities for companies in this sector. Parents are ready to pay more for their baby’s safety. But there are also challenges. Many Indian families reuse baby clothes and toys instead of buying new ones. The government has strict rules on selling baby food. These rules affect some companies. Even with challenges, the demand for baby products is increasing. More people understand the importance of safety, hygiene, and good nutrition. Many parents now prefer eco-friendly and sustainable products. Companies that sell safe, natural, and high-quality baby products will continue to grow.
Brainbees Solutions Ltd runs FirstCry, India’s biggest baby and kids’ product seller. It sells through its website, stores, and shops. This helps parents shop easily from anywhere. FirstCry is trusted because it provides everything for parents from pregnancy to when the child turns 12 years old. It sells top brands, global brands, and its home brands. One of its home brands, BabyHug, is the largest baby product brand in India. FirstCry is also growing in other countries like the UAE and Saudi Arabia. It is already a market leader there. The company uses technology and data to understand what parents need. This helps them give the best shopping experience. FirstCry also helps other brands sell in India through its strong supply chain and store network. FirstCry competes with Amazon and Flipkart. But it stays ahead because it focuses only on baby products. It builds strong trust with parents. Parents now want safe and organic baby products. So, FirstCry is adding more eco-friendly options. It plans to grow more, create more home brands, and improve shopping online and in stores. This will help it stay the number one choice for parents.
Latest Stock News:
Brainbees Solutions Ltd is the parent company of FirstCry, which sells baby and mother care products. As of March 27, 2025, its stock price is ₹351.85. The stock has fallen by 48% in the past year. It had reached a high of ₹734 but dropped to a low of ₹350. The company is facing financial problems. It reported a net loss of ₹7.79 crore for the fourth time in a row. Sales fell by 14.17%, which is the first time in three years that revenue has gone down. But the company has had no debt for the last five years, which is a good sign. Recently, the company gave 869,687 new shares and transferred 803,955 shares. This was after employees used their 1,673,642 stock options under the Employee Stock Option Plan (ESOP). This plan helps reward employees and keeps them motivated.
On March 6, 2025, the stock price of Brainbees Solutions increased by 15.20% in one day. It reached ₹420.85. This was the biggest one-day rise since the company went public in August 2024. Before this, the stock had been falling. It dropped 21% in February and 26.71% in January. At one point, it was 11% below its IPO price of ₹465 and 44% lower than its highest price of ₹731. This sudden rise gave some hope to investors. Retail investors, who own 66% of the company’s shares, were relieved.
In company news, the Chief of Staff, Sanket Raghavendra Hattimattur, resigned on March 3, 2025, for personal reasons. However, he will continue working as a non-executive director. This means he will help in making big decisions but will not handle daily work.
The company’s financial situation improved in Q3FY25. Its net loss decreased by 69.6% to ₹14.7 crore, compared to ₹48.4 crore last year. Revenue grew by 14.3% to ₹2,712.3 crore. This was because more people started using FirstCry’s platform.
On March 27, 2025, Brainbees Solutions announced that its trading window would be closed from April 1, 2025. This is to follow SEBI (Prohibition of Insider Trading) rules. It means company insiders and their family members cannot buy or sell shares until the company announces its financial results for Q4 and FY2025. The company will share the reopening date later. This rule helps prevent unfair trading based on secret company information.
Analysts believe the company has good long-term growth potential. In December 2024, JM Financial gave the stock a target price of ₹692. FirstCry has a strong position in the childcare market. It has 20% of the organized market, which includes both online and offline stores. It holds 24% of the online market. Many brands compete for children aged 4–5 years. But FirstCry is the top brand for babies aged 0–4 years.
The stock has fallen a lot in recent months. But experts believe that Brainbees Solutions can grow if it increases its market share and improves its financial results. Investors are watching closely to see how the company moves forward.
Potentials:
Brainbees Solutions Limited, the company behind FirstCry, has big plans for the next three years. It will open 380 new stores across India. Some stores will sell only BabyHug and FirstCry products. The company will also open stores in small towns and cities so that more people can buy baby and mother care products easily. FirstCry will also start new types of stores. Some will focus on specific age groups, like newborns, toddlers, or young kids. This will help parents find the right products faster. The company is also working to make online shopping better. It wants to offer faster deliveries, better customer service, and a user-friendly website. Brainbees is in good financial health because it has no debt. But in recent months, its stock price has dropped, and sales have fallen. To keep employees happy, the company has given them stock options, which means they can own shares in the company.
In the future, Brainbees may expand to other countries. It may also add new products and work with more brands. The company wants to be the top choice for baby and mother care products in both stores and online.
Analyst Insights:
- Market capitalization:₹ 20,144 Cr.
- Current Price: ₹ 388
- 52-Week High/Low:₹ 734 / 349
- Dividend Yield: 0.00%
- Return on Capital Employed (ROCE): -8.30%
Brainbees Solutions Ltd (FirstCry) is growing fast. Its sales increased from ₹5,799 Cr in FY22 to ₹9,121 Cr in FY24. This means more people are buying its products. But the company is still making losses. In the last year, it reported a net loss of ₹197 Cr. This shows that its expenses are still higher than its earnings. The company’s profit margin is very low. It makes only 3% profit on its sales. In comparison, its competitors Avenue Supermarts and Trent make 19.41% and 23.79% profit, respectively. This shows that FirstCry needs to cut costs or improve its pricing to earn better profits. The company has also taken out a lot of loans. Its total borrowing increased from ₹906 Cr in 2023 to ₹1,574 Cr in 2024. More loans mean the company has to pay more interest. This affects its profits and makes it risky. The return on equity (ROE) is -8.3%. This means the company is not giving good returns to investors. Investors usually prefer companies that give positive returns. The stock price has fallen from ₹734 to ₹388. This shows that investors are not confident about the company’s future. FirstCry has big expansion plans. It plans to open 380 new stores in the next three years. It is also focusing on BabyHug and exclusive FirstCry stores. It is expanding into non-metro cities and introducing stores for specific age groups. If the company can reduce losses, control debt, and improve profits, it can grow well in the future.
Right now, investors should wait and watch before making a decision.