Skillmatics hits Rs 659 Cr revenue, profit up just 4.2%
A profitable Indian toy brand at Rs 659 crore is rare. The detail that matters is that 87% of it is earned abroad, and that costs grew faster than sales.
- Operating revenue grew 34.5% to Rs 659 crore while net profit rose only 4.2% to Rs 17.57 crore
- Around 87% of operating revenue came from outside India, chiefly via US subsidiary Grasper Global Inc
- Total expenditure grew 36.1%, faster than revenue, with marketing the largest line at about Rs 169 crore
- Net profit as a share of operating revenue works out to about 2.7% from about 3.4%, a figure we calculated from the source
Skillmatics, the Mumbai based educational toys and games brand, grew operating revenue 34.5% to Rs 659 crore in FY26 from Rs 490 crore, while net profit rose 4.2% to Rs 17.57 crore from Rs 16.86 crore. Entrackr published the numbers on 21 September 2026 from consolidated statements filed with the Registrar of Companies. It also reports, without naming a source, that the company is in talks to raise fresh capital.
Geography reframes everything else here. Around 87% of operating revenue came from outside India, primarily through the US subsidiary Grasper Global Inc. Skillmatics sells in more than 25 countries through over 3,000 retail stores internationally, with North America the key market. Entrackr does not give the India figure in rupees. Applying its own 87% to its own Rs 659 crore leaves roughly Rs 86 crore from India, a number we calculated and the source does not state.
Now the margin. Revenue grew 34.5%, but total expenditure grew faster, up 36.1% to Rs 652 crore from Rs 479 crore. Marketing was the single biggest line at about Rs 169 crore, roughly 26% of total spend, and the cost of making the toys and games was about Rs 130 crore. Packaging, commissions, transportation and employee benefits sit inside a grouped bucket the source does not itemise.
That gap between 34.5% revenue growth and 36.1% cost growth is the whole story of a profit that rose 4.2%. Net profit as a share of operating revenue works out to about 2.7% in FY26 against about 3.4% in FY25, a calculation from the source’s own revenue and profit figures rather than a ratio Entrackr publishes. The reported EBITDA margin was 1.75% and return on capital employed 5.14%, with no FY25 comparison for either. The company spent about 99 paise to earn a rupee of operating revenue.
It closed FY26 with current assets of about Rs 222 crore, including Rs 75.5 crore in cash and bank balances, and has raised around $28 million to date from investors including Peak XV Partners and Sofina.
The operator read is that profitability at Rs 659 crore is genuinely rare in Indian consumer brands, but this profit is thin and it is bought with an American marketing budget. A brand in this shape does not have a growth problem. It has a question about whether the next Rs 100 crore arrives at 2.7% or at something better.
Zane’s analysis draws on original reporting by Entrackr. Read the original report.