Operating revenue zoomed 47.1% to ₹3531.2 Cr during the quarter under review from ₹2,400 Cr in the year-ago quarter
Including other income, Meesho’s total income for the quarter stood at ₹3,647 Cr
Loss dipped 66% QoQ from ₹490.7 Cr
Ecommerce giant Meesho trimmed its consolidated net loss by 88% to ₹166.3 Cr in Q4 FY26 from ₹1,391.4 Cr in the year-ago quarter. Losses also dipped 66% sequentially from ₹490.7 Cr.
Operating revenue zoomed 47.1% to ₹3,531.2 Cr in Q4 FY26 from ₹2,400 Cr in the year-ago quarter. Sequentially, it rose marginally from ₹3,517.6 Cr.
Including other income, Meesho’s total income for the quarter stood at ₹3,647 Cr.
Meanwhile, total expenses zoomed 44.4% to ₹3,807.1 Cr from ₹2,363.8 Cr in Q4 FY25. On a sequential basis, expenses contracted 6.5% from ₹4,071.3 Cr.
For the full FY26, Meesho’s loss narrowed 65.6% YoY to ₹1,357.7 Cr, while operating revenue rose 34.5% YoY to ₹12,626 Cr.
Meanwhile, Meesho’s adjusted EBITDA loss for the marketplace arm worsened to ₹198 Cr in Q4 FY26 as against ₹109 Cr loss in the year ago quarter. On similar lines, adjusted EBITDA loss for its new initiatives arm (which includes the financial services arm and logistics vertical Valmo) nearly doubled YoY to ₹20.7 Cr.
“Adjusted EBITDA of our older cohorts contributing to nearly 75% of NMV is already positive or close to break even in Q4 FY26. As cohorts mature, profitability improves through a compounding mix of higher delivery success, stronger conversion, lower serving costs and operating leverage,” added the company.
For FY26, adjusted EBITDA loss for the marketplace vertical soared 906% to ₹1,178 Cr compared to an adjusted EBITDA loss of ₹117 Cr in FY25. The company attributed this to certain factors:
- Consolidation headwinds in the third-party logistics space caused cost efficiencies in Q2 and Q3 FY26, which Meesho claims are on path to normalisation
- The ecommerce platform also invested heavily in new user acquisitions that resulted in indirect marketing spending, not directly attributable to placed orders, increasing to ₹990 Cr in FY26 from ₹489 Cr in FY25
- Higher server and software tools expenses to build AI infrastructure, including training multiple AI models, investments in agentic platforms.
- It also ramped up hiring of AI engineers during the fiscal, which resulted in additional “people costs”
On the operational front, Meesho’s net merchandise value (NMV) stood at ₹11,371 Cr in Q4 FY26, up 43% YoY, while order volume grew 43% on a yearly basis to 71.7 Cr orders. This increase in order volume and value, along with AI-led restructuring, helped the company improve contribution margin by 34% to ₹459 Cr against ₹340 Cr in Q4 FY25.
Annual transaction users also rose 33% YoY to 26.4 Cr in the quarter under review. The company also claimed that it hosts 9.6 Lakh “transacting” sellers and nearly 16.6 Cr “active” listings. Meanwhile, logistics arm Valmo comprised a network of 18K logistics providers and 1.2 Lakh last-mile agents.
On AI investments, founder and CEO Vidit Aatrey, in the company’s shareholder’s letter, said that over 70% of the marketplace’s code is now generated by AI. He added that the company’s next bet is automating software development lifecycle, with engineers stepping in only for guidance and solving novel problems.
“Platform experiments in Q4 FY26 were up 2.0X versus the same quarter last year, and the compounding gains are showing up in platform reliability and quality,” he added.
Meesho’s Lending Push
Alongside its financial results, Meesho also said that its board approved an investment of up to ₹100 Cr in its financial services subsidiary Meesho Payments Private Ltd. (MPPL) via a rights issue. The investment is expected to be completed on or before June 30 and will take place over multiple tranches.
“The infusion of funds is expected to facilitate expansion of MPPL’s activities, improve operational efficiency, and support the development of its offerings in line with the evolving needs of the business and the market needs,” Meesho said.
MMPL is a lending service provider that ties up with financial services providers, and offers credit services to Meesho’s customers and sellers.
Going forward in FY27, the ecommerce platform said that it plans to keep investing aggressively in new user acquisition strategies, while focusing on platform health.
“… When the choice has been between a better optical quarter and a healthier flywheel, we have always chosen the flywheel. FY26 was no exception. The macro will shape how the next two or three quarters look. It does not change where we are going…,” added the company.
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