FNP eyes ₹2,200-2,400 crore revenue before IPO; targets public listing by FY28

Gifting platform FNP (Ferns N Petals) is pressing ahead with plans to go public by the end of 2028, but only after more than doubling its revenue and building a stronger, more predictable business.

The company is targeting annual revenue of ₹2,200-2,400 crore by the time it launches its initial public offering (IPO), up from ₹1,085 crore in FY26. It also plans to expand its retail footprint to around 350 stores by FY28 while betting on quick commerce, artificial intelligence and overseas markets to fuel its next phase of growth.

"We are aiming to file the DRHP in calendar year 2028 and also go public in the same year. But before that, we want to put our house in order," Pawan Gadia, Global CEO and Director of FNP, told Fortune India.

"Governance, financial discipline and predictable quarterly performance are far more important because public markets are very unforgiving."

The strategy is already beginning to pay off. FNP's revenue rose 25% year-on-year to ₹1,085 crore in FY26 from ₹870 crore a year earlier, and the company is targeting a topline of around ₹1,400 crore in FY27. EBITDA (pre-ESOP) swung to a profit of ₹15 crore from a loss of ₹4 crore in FY25, reflecting tighter cost controls and better operating efficiencies.

For the current financial year, FNP is targeting revenue of around ₹1,400 crore, with profitability remaining a key focus.

The turnaround comes after a period of aggressive expansion following its first institutional fundraise in FY23.

"We got carried away after raising capital," Gadia admitted. "We spent heavily on marketing, hired ahead of demand and tripled our technology investments. Those were the three biggest reasons our profitability suffered."

Over the past two years, the company has reined in those costs while improving sourcing, inventory planning and fulfilment. It now procures flowers directly from growers, has invested in central kitchens for cakes and uses technology to track orders at every stage, from production to last-mile delivery.

Bets big on quick commerce

Quick commerce has also become a meaningful growth driver. FNP expects the channel to contribute about ₹125 crore this year, or nearly 18% of its projected India revenue of ₹700 crore. Globally, quick commerce and food delivery platforms account for roughly 28% of revenue. The company’s quick commerce business has grown sharply from ₹8 crore in FY25 to ₹65 crore in FY26.

"We were late to quick commerce because the margins were different. But we realised customers were searching for FNP on these platforms, and we couldn't afford to stay away," Gadia said. Today, the company processes roughly 10,000 orders a day through quick-commerce and food-delivery platforms, in addition to another 10,000 orders through its own channels.

Despite the rapid growth, FNP has no plans to build its own delivery network. "That's a game where you need billions to burn. We'd rather partner with existing players than compete with them," Gadia said.

International markets remain another pillar of growth, contributing nearly half of the company's revenue. The UAE alone has grown into a ₹500-crore business, while Singapore, Qatar and Saudi Arabia are also scaling up. Going forward, FNP is evaluating acquisitions and partnerships to enter new overseas markets faster.

The company is also leaning heavily on AI to improve efficiency across customer service, demand forecasting, procurement and software development. According to Gadia, the use of AI has already helped reduce customer-support headcount by nearly one-third over the past year.

Alongside digital investments, FNP plans to expand its physical presence from around 300 stores currently to about 350 by FY28, with company-owned outlets in metro cities and franchise-led expansion in smaller towns.

Looking beyond flowers and cakes, the company is also exploring adjacent categories such as experience gifting, gift cards and digital gifting. Beyond flowers and cakes, the company is eyeing newer adjacencies such as experience gifting, digital gifting and gift cards.

"Experience-led gifting is very big globally, whether it's yacht rides, hot-air balloons, dinner experiences or adventure sports. That's something on our radar. Digital gifting and gift cards also make strategic sense because the customer profile is similar," Gadia said.

"Our ambition is not just to sell gifts. It's about owning every emotional moment in a customer's life by offering the right products, the right services, personalisation and unforgettable experiences," he said.