The FirstCry business model works by buying baby and kids products, selling them through an app, a website and more than 1,100 stores, and earning a better margin on its own brands than on other companies’ brands. The group, run by Brainbees Solutions, reported revenue of ₹8,548 crore for FY26. Figures below come from the company’s results as reported in the press, and some numbers differ by source.
The Business in One Line
FirstCry is a parenting retailer, not just an online shop.
- Brainbees Solutions operates FirstCry, which sells apparel, toys, feeding items and baby care through app, website and stores
- FY26 consolidated revenue was ₹8,547.9 crore, up 12% from ₹7,659.6 crore, and gross merchandise value rose 10% to ₹11,643.4 crore
- GMV and revenue aren’t the same number, and revenue grew faster than GMV in FY26, helped by category mix and home-brand sales
- Adjusted EBITDA rose 24% to ₹486 crore, and cash profit after tax rose 49% to ₹311.9 crore
- The net loss narrowed to about ₹203.7 crore from ₹264.8 crore
Where the Revenue Comes From
The group reports four main streams, and one does most of the work.
- India multi-channel: app, website and stores, with revenue of ₹5,753.3 crore, up 9%, and GMV above $1 billion at about ₹9,783 crore
- GlobalBees: a platform of consumer brands sold mostly through marketplaces, with revenue of ₹1,894.3 crore, up 20%
- International: online platforms in the UAE and Saudi Arabia, with revenue growth of 10% and losses cut by 35%
- Preschools: a franchised education business, with revenue up 11% and EBITDA of about 27%
- India multi-channel is roughly two-thirds of revenue and GlobalBees about a fifth, though these are rough shares and may ignore adjustments between segments
The Core Model: Retail Margin
Most of the money is the difference between what FirstCry pays for products and what customers pay.
- It sells branded products from other companies and its own home brands
- Gross margin comes from buying in volume, curating the assortment and controlling pricing
- Its multi-channel approach lets one customer buy online, in a store or both
- Competing hard on discounts can protect sales and retention but hurt margins, according to an analysis of its model
Own Brands Carry the Margin
Private labels are the lever that improves profitability.
- FirstCry’s home brands include BabyHug, Babyoye, CuteWalk and Pine Kids
- One report says private labels contribute over 55% of GMV
- Unlike third-party brands, own brands give control over margin and supply, and one analysis says they offset weaker revenue from other brands
- Rising home-brand penetration in India helped revenue grow faster than GMV in FY26
The Store Network
Stores add reach and a second revenue line.
- FirstCry ended FY26 with about 1,189 to 1,190 modern stores, split into franchise-owned (FOFO) and company-owned (COCO) formats
- FOFO stores rose to 653 from 629, and COCO stores totalled 536 across FirstCry and BabyHug formats
- Other sources quote 1,156 stores and 1,198 stores, so the count depends on the date
- Management paused opening new company-owned stores in FY26 because of macroeconomic conditions
- It plans roughly 100 new stores in FY27, using a mix of company-owned and franchise stores
- Offline GMV grew about 15% in Q4, according to the earnings call summary
GlobalBees
This is the group’s brand-building arm.
- GlobalBees acquires and builds consumer brands and sells them mainly through online marketplaces
- It reported an adjusted EBITDA of about ₹92 crore after corporate expenses, according to one summary of the call, though the period isn’t clear
- It’s also a source of risk. Q4 FY26 included an exceptional loss of ₹27.8 crore after inventories in some GlobalBees subsidiaries became unrecoverable
- A news headline also reports an insolvency plea against a GlobalBees arm, so check the latest on that before relying on this segment
International and Preschools
These are smaller streams with different economics.
- International operations are still loss-making but improving, and the company talks about building gross margin and home-brand sales abroad
- Preschools expanded from 208 at the end of FY24 to more than double that by the end of FY26
- Preschools earn from franchise-style education operations and carry the highest EBITDA margin in the group, at about 27%
Is It Profitable?
The answer depends on which line you look at.
- The India multi-channel business was profit after tax positive and cash-flow positive in FY26
- Consolidated, the group still reported a net loss, though it narrowed
- Consolidated operating cash flow was positive at ₹365.1 crore in FY26 against negative the year before
- International losses and GlobalBees’ inventory issues are what keep the group-level result negative
Risks and Competition
The model has real pressure points.
- The company cited heightened competitive intensity in parts of its domestic business
- Quick-commerce players and marketplaces compete on delivery speed and price
- FirstCry’s Qwik service offers three-hour delivery, still in pilot in three cities
- Third-party brands bring procurement and supply uncertainty
- Discounting to protect market share can squeeze margins
FAQs
Q1. How does FirstCry make money?
Mainly by selling baby and kids products at a margin through its app, website and stores, with higher margins on its own brands.
Q2. What is FirstCry’s revenue?
₹8,547.9 crore in FY26, up 12%, with gross merchandise value of ₹11,643.4 crore.
Q3. Is FirstCry profitable?
Its India multi-channel business was profitable, but the group still reported a net loss of about ₹203.7 crore.
Q4. What are FOFO and COCO stores?
FOFO stores are franchise-owned and franchise-operated, while COCO stores are company-owned and company-operated.
Q5. What is GlobalBees?
FirstCry’s brands platform, which builds and acquires consumer brands and sold ₹1,894.3 crore worth in FY26.
